Howmet Aerospace Records Highest Profit Ever, Boosts 2025 Outlook

Howmet Aerospace reported record revenue of $2.05 billion, a 9% YoY increase, and net income of $407 million. The company exceeded guidance and raised its full-year 2025 outlook. Engine Products led segment performance with a 13% revenue increase, while Fastening Systems saw a 9% revenue increase. The company generated a record $344 million in free cash flow and repurchased $175 million of common stock in the quarter.

Howmet Aerospace (NYSE: HWM) has reported record second quarter 2025 results, showcasing robust financial performance and a strong outlook for the remainder of the year. The company reported revenue of $2.05 billion, an impressive 9% year-over-year (YoY) increase, driven by significant growth in the commercial aerospace market [1].

The company's net income for the quarter was $407 million, representing a substantial increase of $141 million from the second quarter 2024, and an earnings per share (EPS) of $1.00. This performance exceeded the company's guidance, demonstrating its ability to deliver strong results consistently [1].

Howmet Aerospace's full-year 2025 guidance has been raised across all metrics, reflecting the company's confidence in its growth prospects. The company expects revenue to range between $8.08 billion and $8.18 billion, with adjusted EBITDA margins projected to be between 28.5% and 28.7% [1].

Segment performance was led by Engine Products, which reported a 13% YoY revenue increase to $1.1 billion. Fastening Systems also performed well, with a 9% YoY revenue increase to $431 million. Engineered Structures and Forged Wheels reported revenue increases of 5% and a decrease of 1%, respectively [1].

The company generated a record $344 million in free cash flow during the second quarter, marking the ninth consecutive quarter of positive free cash flow generation. Additionally, Howmet Aerospace repurchased $175 million of common stock in the second quarter and an additional $100 million in July 2025, totaling $400 million in share repurchases year-to-date [1].

John Plant, Executive Chairman and Chief Executive Officer of Howmet Aerospace, commented on the results, stating, "The Howmet team delivered another strong set of results in the second quarter 2025, exceeding the high end of guidance on all metrics. Howmet achieved a quarterly record in revenue, surpassing the $2 billion mark, and also drove quarterly records in Adjusted EBITDA* and Adjusted Earnings Per Share*. Adjusted EBITDA Margin* was solid at 28.7%, up 300 basis points year over year, while Free Cash Flow was a second-quarter record at $344 million and marked the ninth consecutive quarter of positive Free Cash Flow generation" [1].

The company's outlook remains positive, with the commercial aerospace market expected to continue growing due to healthy passenger traffic and high original equipment manufacturer (OEM) backlogs. The defense aerospace market also shows strength, and demand for industrial gas turbines is expected to remain robust due to data center expansion [1].

Howmet Aerospace's strong financial performance and positive outlook make it an attractive investment for financial professionals and investors seeking exposure to the aerospace industry.

References:
[1] Howmet Aerospace Press Release, July 31, 2025. Retrieved from https://www.howmet.com/press-release/2025-07-31/howmet-aerospace-reports-second-quarter-2025-results/