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Alcoa profits shine in 3Q
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October 6, 1998: 12:28 p.m. ET
Aluminum producer soundly beats estimates despite drop in prices
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NEW YORK (CNNfn) - Aluminum Co. of America Tuesday reported third-quarter earnings well ahead of Wall Street forecasts but below year-ago results as low aluminum prices drove margins downward.
Pittsburgh-based Alcoa, the world's largest aluminum producer, posted a net income of $217.7 million, or $1.22 a share, on $4.1 billion in revenues. First Call estimates forecast a profit of $1.06 a share for the quarter.
Alcoa's profits were off last-year's results, however, when the company reported a profit of $228.1 million, or $1.32 a share, on $3.4 billion in revenue.
"We are pleased with the quarter's results," said Paul O'Neill, Alcoa chairman and chief executive officer. "Despite low aluminum prices - which are down 14 percent since the beginning of 1998 -- we have maintained strong earnings."
In June, Alcoa completed its $3.8 billion acquisition of Alumax, which was the third-ranked aluminum producer.
Shares of Dow component Alcoa (AA) were up 2-7/8 at 71-1/16 in midday trading. 
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Alcoa
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