US's largest aluminum producer, Alcoa Inc., is expected to post Q1 profit on Monday. While this will be a positive figure, after a long time, the value will be lesser than what the analysts had expected.

Analysts fear that the profit figures will be as low as 47 per cent below the expectations, which were made just a month back.

The fall has happened since the increased costs have eaten into the benefits of rising metal costs.

But even with this, the experts believe that looking at the improving environment post-recession; Alcoa can go in for a break-even. But, that is all that it should expect for now.

A survey done by Bloomberg, taking the view of 17 analysts, showed that the average earnings of the company had dropped by 9 cents per share. This survey, however, did not include some items.

The analysts also believe that its costs had risen substantially because it had taken into consideration the most recently purchased inventory. Because of this, Alcoa is failing to get the optimum benefits of rising metal prices.

Some experts also say that the rising foreign currencies in Australia and Canada, has also reduced the profit.