Segment and Related Information (Tables)

12 Months Ended

Dec. 31, 2024

Schedule of Operating Results, Capital Expenditures and Assets of Alcoa's Reportable Segments

The operating results, capital expenditures, and assets of Alcoa Corporation’s reportable segments were as follows:


	Alumina			Aluminum			Total
2024
Sales:
Third-party sales	$	4,662		$	7,230		$	11,892
Intersegment sales		2,263			16			2,279
Total sales	$	6,925		$	7,246		$	14,171
Adjusted operating costs(1)		3,110			5,488			8,598
Other segment items(2)		2,407			1,101			3,508
Segment Adjusted EBITDA	$	1,408		$	657		$	2,065
Supplemental information:
Depreciation, depletion, and amortization	$	348		$	272		$	620
Equity income (loss)		22			(5	)		17
Capital expenditures		367			197			564
2023
Sales:
Third-party sales	$	3,613		$	6,925		$	10,538
Intersegment sales		1,648			15			1,663
Total sales	$	5,261		$	6,940		$	12,201
Adjusted operating costs(1)		3,487			5,281			8,768
Other segment items(2)		1,501			1,198			2,699
Segment Adjusted EBITDA	$	273		$	461		$	734
Supplemental information:
Depreciation, depletion, and amortization	$	333		$	277		$	610
Equity loss		(48	)		(106	)		(154	)
Capital expenditures		323			198			521
2022
Sales:
Third-party sales	$	3,724		$	8,735		$	12,459
Intersegment sales		1,708			27			1,735
Total sales	$	5,432		$	8,762		$	14,194
Adjusted operating costs(1)		3,745			5,603			9,348
Other segment items(2)		899			1,667			2,566
Segment Adjusted EBITDA	$	788		$	1,492		$	2,280
Supplemental information:
Depreciation, depletion, and amortization	$	312		$	283		$	595
Equity (loss) income		(39	)		48			9
Capital expenditures		320			153			473

2024
Assets:
Equity investments	$	420		$	546		$	966
Total assets		6,138			6,129			12,267
2023
Assets:
Equity investments	$	395		$	569		$	964
Total assets		6,153			5,854			12,007

(1)

Adjusted operating costs include all production related costs for alumina or aluminum produced and shipped: raw materials consumed; conversion costs, such as labor, materials, and utilities; and plant administrative expenses.

(2)

Other segment items include costs associated with trading activity, the Alumina segment’s purchase of bauxite from offtake or other supply agreements, the Alumina segment’s commercial shipping services, and the Aluminum segment’s energy assets; other direct and non-production related charges; Selling, general administrative, and other expenses; and Research and development expenses.

Schedule of Reconciliation of Certain Segment Information to Consolidated Totals

The following tables reconcile certain segment information to consolidated totals:


	2024			2023			2022
Sales:
Total segment sales	$	14,171		$	12,201		$	14,194
Elimination of intersegment sales		(2,279	)		(1,663	)		(1,735	)
Other		3			13			(8	)
Consolidated sales	$	11,895		$	10,551		$	12,451

Schedule of Segment Adjusted EBITDA to Consolidated Net (Loss) Income Attributable to Alcoa Corporation


	2024			2023			2022
Net income (loss) attributable to Alcoa Corporation:
Total Segment Adjusted EBITDA	$	2,065		$	734		$	2,280
Unallocated amounts:
Transformation(1)		(62	)		(80	)		(66	)
Intersegment eliminations		(231	)		7			138
Corporate expenses(2)		(160	)		(133	)		(128	)
Provision for depreciation, depletion, and amortization		(642	)		(632	)		(617	)
Restructuring and other charges, net (D)		(341	)		(184	)		(696	)
Interest expense (U)		(156	)		(107	)		(106	)
Other (expenses) income, net (U)		(91	)		(134	)		118
Other(3)		(93	)		(55	)		(221	)
Consolidated income (loss) before income taxes		289			(584	)		702
Provision for income taxes (Q)		(265	)		(189	)		(664	)
Net loss (income) attributable to noncontrolling interest		36			122			(161	)
Consolidated net income (loss) attributable to Alcoa Corporation	$	60		$	(651	)	$	(123	)

(1)

Transformation includes, among other items, the Adjusted EBITDA of previously closed operations.

(2)

Corporate expenses are composed of general administrative and other expenses of operating the corporate headquarters and other global administrative facilities, as well as research and development expenses of the corporate technical center.

(3)

Other includes certain items that are not included in the Adjusted EBITDA of the reportable segments.

Schedule of Segment Reporting Information to Consolidated Assets


December 31,	2024			2023
Assets:
Total segment assets	$	12,267		$	12,007
Elimination of intersegment receivables		(364	)		(159	)
Unallocated amounts:
Cash and cash equivalents		1,138			944
Corporate fixed assets, net		366			392
Corporate goodwill		139			142
Deferred income taxes		284			333
Pension assets		128			125
Other		106			371
Consolidated assets	$	14,064		$	14,155

Schedule of Product Division Information

The following table represents the general commercial profile of the Company’s Bauxite, Alumina, and Primary aluminum product divisions (see text below table for Energy):


Product division	Pricing components	Shipping terms(3)	Payment terms(4)
Bauxite	Negotiated	FOB/CIF	LC Sight
Alumina:
Smelter grade	API(1)/spot/fixed	FOB/CIF	LC Sight/CAD/Net 30 days
Non-metallurgical	Negotiated	FOB/CIF	Net 30 days
Primary aluminum:
Common alloy ingot	LME + Regional premium(2)	DAP/CIF/DDP	Net 30 to 45 days
Value add ingot	LME + Regional premium + Product premium(2)	DAP/CIF/DDP	Net 30 to 45 days

(1)

API (Alumina Price Index) is a pricing mechanism that is calculated by the Company based on the weighted average of a prior month’s daily spot prices published by the following three indices: CRU Metallurgical Grade Alumina Price, Platts Metals Daily Alumina PAX Price, and FastMarkets Metal Bulletin Non-Ferrous Metals Alumina Index.

(2)

LME (London Metal Exchange) is a globally recognized exchange for commodity trading, including aluminum. The LME pricing component represents the underlying base metal component, based on quoted prices for aluminum on the exchange. The regional premium represents the incremental price over the base LME component that is associated with the physical delivery of metal to a particular region (e.g., the Midwest premium for metal sold in the United States). The product premium represents the incremental price for receiving physical metal in a particular shape or alloy.

(3)

CIF (cost, insurance, and freight) means that the Company pays for these items until the product reaches the buyer’s designated destination point related to transportation by vessel. DAP (delivered at place) means the same as CIF related to all methods of transportation. FOB (free on board) means that the Company pays for costs, insurance, and freight until the product reaches the seller’s designated shipping point. DDP (delivered duty paid) means that the Company pays for all costs and risks, including export and import clearance, transport costs, and customs formalities, until the product reaches the buyer’s designated destination point.

(4)

The net number of days means that the customer is required to remit payment to the Company for the invoice amount within the designated number of days. LC Sight is a letter of credit that is payable immediately (usually within five to ten business days) after a seller meets the requirements of the letter of credit (i.e. shipping documents that evidence the seller performed its obligations as agreed to with a buyer). CAD (cash against documents) is a payment arrangement in which a seller instructs a bank to provide shipping and title documents to the buyer at the time the buyer pays in full the accompanying bill of exchange.

Schedule of Third-party Sales by Product Division

The following table details Alcoa Corporation’s Sales by product division:


	2024			2023			2022
Sales:
Aluminum	$	7,359		$	7,045		$	8,887
Alumina		4,246			3,103			3,478
Bauxite		376			466			168
Energy		147			118			201
Other(1)		(233	)		(181	)		(283	)
	$	11,895		$	10,551		$	12,451

(1)

Other includes realized gains and losses related to embedded derivative instruments designated as cash flow hedges of forward sales of aluminum (see Note P).

Schedule of Geographic Information for Third-party Sales

Geographic information for Third-party sales was as follows (based upon the country where the point of sale originated):


	2024		2023		2022
Sales:
United States(1)	$	5,365	$	4,993	$	5,462
Australia		3,128		2,240		2,742
Netherlands(2)		2,193		2,261		3,031
Brazil		878		735		527
Spain		293		289		618
Other		38		33		71
	$	11,895	$	10,551	$	12,451

(1)

Sales of a portion of the alumina from refineries in Australia and Brazil, most of the aluminum from smelters in Canada, and aluminum off-take related to an interest in the Saudi Arabia joint venture (see Note H), occurred in the United States.

(2)

Sales of aluminum from smelters in Iceland and Norway occurred in the Netherlands.

Schedule of Geographic Information for Long-Lived Assets

Geographic information for long-lived assets was as follows (based upon the physical location of the assets):


December 31,	2024		2023
Long-lived assets:
Australia	$	1,947	$	2,046
Brazil		1,354		1,550
Canada		903		896
Iceland		901		950
United States		749		780
Norway		288		310
Spain		244		250
Other		3		3
	$	6,389	$	6,785

Alcoa Corp 10-K