A maker of specialty aluminum mill products for demanding jobs, from aircraft parts and beverage can stock to automotive extrusions and industrial components. Founded in 1946 by the industrialist Henry J. Kaiser, it began as Permanente Metals Corporation, a name borrowed from a California creek that flows year-round — "permanent" water for early Spanish ranches. Its rolling mill in Trentwood, Washington, and smelters in Mead and Tacoma were leased from the government after World War II.
Adjusted EBITDA more than doubled to $166.3M as a 44% price increase and favorable metal costs lifted margins.
crossed $1.2 billion for the first time. Revenue rose 53% to $1.26 billion and widened 6.0 points to 10.6% as the average realized price climbed 44% and manufacturing costs fell 21% on favorable metal consumption. The metal price that drove the result can reverse, leaving the company's underlying earnings dependent on whether aerospace shipments stabilize and the Warrick coating line delivers durable margin improvement.
Key takeaways
more than doubled to $166.3 million, up 146% from $67.7 million a year ago, driven by higher volume, improved pricing and mix, favorable metal consumption impacts, and lower major maintenance costs.
Manufacturing costs fell 21% to $151.5 million, primarily from favorable metal consumption and valuation — a timing benefit tied to metal prices that can reverse when prices rise.
, which strips out metal costs to isolate the value the company adds, grew 17% to $437.0 million, with per-pound gains in Aerospace/High-Strength Products ($2.23 vs. $2.12) and Packaging ($1.12 vs. $0.92).
Section summaries
Management's Discussion and Analysis
Q2 2026 net income rose to $96.8M on 6% volume growth and 44% higher realized price, with Adjusted EBITDA up 146% to $166.3M.
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Consolidated increased 53% to $1.26B, driven by a $1.26/lb (44%) higher average realized price and a 6% shipment volume increase.
grew 17% to $437.0M, with per-pound improvements in Aero/HS Products ($2.23 vs. $2.12) and Packaging ($1.12 vs. $0.92).
widened 3.7 points to 15.8%, the highest in the series, as the 44% increase in average realized price per pound and lower metal consumption costs more than offset cost inflation.
was $59.5 million in the quarter, up from $15.9 million a year ago, and swung to a $35.1 million inflow from a $27.7 million use, as the first half generated $147.4 million in operating cash flow.
Full-year 2026 projects 10–15% growth in and 45–55% growth in , assuming a neutral metal price impact — a signal that management expects the metal price to fade.
What changed
The benefit that drove nearly all of 2025's growth and was flagged as a reversal risk has not yet reversed — instead, favorable metal consumption and valuation impacts intensified in Q2 2026, cutting manufacturing costs by 21% and pushing Adjusted EBITDA to $166.3 million.
Aerospace and high-strength product shipments, which fell 30% in Q4 2025 and were flagged for stabilization, showed per-pound improvement to $2.23 from $2.12 a year ago, though the filing does not report a separate shipment figure for the this quarter.
The Warrick fourth coating line, flagged in prior periods for startup costs and uncertain margin contribution, appears to be lifting Packaging per pound, which rose to $1.12 from $0.92 a year ago, contributing to a 17% increase in total Conversion Revenue.
turned positive at $35.1 million in Q2 2026 after a $27.7 million use a year ago, and the first half generated $147.4 million in , suggesting the lower plan of $120–$130 million is allowing cash generation to recover.
What to watch
Whether the favorable metal consumption and valuation impacts that reduced manufacturing costs by 21% in Q2 2026 reverse in subsequent quarters, exposing the underlying earnings level when metal prices rise — management's full-year assumes a neutral metal price impact.
Whether the $1.12 per pound Packaging , up from $0.92 a year ago, is durable and reflects the Warrick coating line delivering sustained margin improvement rather than a temporary pricing benefit.
Whether aerospace and high-strength product per pound of $2.23 can be sustained or grows further, confirming that the 's value capture is improving even if shipment volumes remain below post-pandemic peaks.
Whether the $217.6 million increase in that supported Q1 begins to reverse, pressuring cash generation in the second half of 2026.
more than doubled to $166.3M, benefiting from higher volume, improved pricing/mix, favorable metal consumption impacts, and lower major maintenance costs.
Manufacturing costs fell 21% to $151.5M due to favorable metal consumption and valuation, partially offset by higher operating costs.
Full-year 2026 projects 10-15% growth in and 45-55% growth in , assuming neutral metal price impact.
Total liquidity stood at $628.4M with no outstanding borrowings under the ; was $147.4M for the first half.
Reference is made to Part I, Item 3. “Legal Proceedings” included in our Annual Report on Form 10-K for the year ended December 31, 2025 for information concerning material legal proceedings with respect to the Company. There have been no material developments since December 31,…
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Reference is made to Part I, Item 3. “Legal Proceedings” included in our Annual Report on Form 10-K for the year ended December 31, 2025 for information concerning material legal proceedings with respect to the Company. There have been no material developments since December 31, 2025.
Reference is made to Part I, Item 1A. “Risk Factors” included in our Annual Report on Form 10-K for the year ended December 31, 2025 for information concerning risk factors. There have been no material changes in risk factors since December 31, 2025.
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Reference is made to Part I, Item 1A. “Risk Factors” included in our Annual Report on Form 10-K for the year ended December 31, 2025 for information concerning risk factors. There have been no material changes in risk factors since December 31, 2025.