ATI Announces Second Quarter 2025 Results

Core Insights - The company reported second quarter 2025 sales of $1.14 billion, a 4% increase year-over-year, driven by strong demand in the aerospace and defense sectors [3][6][26] - Aerospace and defense sales accounted for $762 million, representing 67% of total sales for the quarter, with a notable 27% year-over-year growth in commercial jet engine sales [1][26] - The company raised its full-year adjusted earnings and cash flow guidance, reflecting positive operational performance and market demand [1][2] Financial Performance - Net income attributable to the company was $100.7 million, or $0.70 per share, marking a 23% increase year-over-year [3][19] - Adjusted net income attributable to the company was $106.4 million, up 24% year-over-year, with adjusted earnings per share of $0.74 compared to $0.60 in the same quarter last year [4][6][33] - Adjusted EBITDA for the quarter was $207.7 million, a 14% increase year-over-year, representing 18.2% of sales [4][6][30] Segment Performance - High Performance Materials & Components (HPMC) segment sales were $608.8 million, up 4% sequentially and 8% year-over-year, with segment EBITDA of $144 million, or 23.7% of sales [9][12][20] - Advanced Alloys & Solutions (AA&S) segment sales decreased to $531.6 million, down 5% sequentially, with segment EBITDA of $76.7 million, or 14.4% of sales [10][12][20] Capital Allocation and Share Repurchase - The company repurchased $250 million of its common stock during the second quarter, bringing total share repurchases for 2025 to $320 million, with remaining authorization of $270 million [8][18] - Capital expenditures for the second quarter were $72 million, reflecting the company's disciplined approach to capital allocation [18][24] Market Outlook - The company anticipates continued demand growth in aerospace and defense markets, supported by recent long-term contract extensions with major airframe manufacturers [6][7] - The overall aerospace and defense sales represented 92% of total HPMC sales, indicating a strong market position [12][26]