What is the revenue and EPS growth rate for Howmet Aerospace year over year?

What factors drove the changes in Howmet Aerospace's revenue and profit?

What is the market's earnings forecast for Howmet Aerospace next quarter?

What were the key takeaways from Howmet Aerospace's earnings call?

What were the key takeaways from Howmet Aerospace’s earnings call?

Did Howmet Aerospace beat or miss consensus estimates last quarter?

What is Howmet Aerospace's latest dividend and current dividend yield?

What guidance did Howmet Aerospace's management provide for the next earnings period?

- **Revenue Growth**: Q3 2025 revenue up 14% YoY, driven by Commercial (15%) and Defense (24%) Aerospace.
- **Profitability**: EBITDA +26%, free cash flow $423M, net leverage 1.1x.
- **Share Buybacks**: $600M year-to-date, surpassing 2024 full-year buybacks.
- **2026 Outlook**: $9B+ revenue, 10% YoY growth, backed by new Michigan plant.
- **IGT Expansion**: Midsized turbines (45MW+) for data centers, similar margins to aerospace.
- **Tariff Mitigation**: Pass-through agreements limit net drag to $5M.
- **Dividend Growth**: 20% QoQ increase, EPS up 34%.
- **Liquidity**: $1B commercial paper program, BBB+ credit rating.


**【CEO Opening Remarks】**
- Q3 revenue grew 14% YoY, driven by Commercial Aerospace (15%) and Defense Aerospace (24%).
- EBITDA increased 26% to $600M, with operating income up 29%.
- $200M share buybacks in Q3,2025, and $600M year-to-date, surpassing 2024 full-year buybacks.
- Debt reduced by $63M, to achieve net leverage of 1.1x.
- Headcount increased by 265, with hiring expected to resume in early 2026.
- Free cash flow of $423M, with $1 108M in capex.

**【CFO Financial Commentary】**
- Commercial Aerospace revenue exceeded $1.1B, driven by engine spares and new aircraft orders.
- Defense Aerospace growth of 24% from F-35 builds.
- Free cash flow of $423M, with year-to-date capex of $330M.
- Dividend increased 20% QoQ, EPS up 34%.
- Net debt-to-EBITDA ratio improved to 1.1x, with S&P credit upgrade to BBB+.
- $1B commercial paper program and undrawn revolver provide liquidity.

**【CEO Outlook & Strategy】**
- 2026 revenue expected to exceed $9B, up 10% YoY.
- New Michigan plant on track for 2026, supporting aerospace and IGT growth.
- IGT demand from data centers and utilities, with midsized turbines (45MW+) seeing strong growth.
- Turbine blade technology similar to aerospace, enabling higher efficiency.
- 2026 capex to remain high, backed by customer contracts.

**【Q&A Highlights】**
- **IGT Growth**: Midsized turbines (45MW+) driven by data centers, with similar margins to aerospace.
- **Tariffs Impact**: Net drag ~$5M, with pass-through agreements protecting margins.
- **Incremental Margins**: Q3 at 50%, sustained by automation and yield improvements.
- **2026 Guidance**: Revenue $9B+, EBITDA $2.375B, FCF $1.3B.
- **Spares Demand**: Expected to grow annually through 2030, offsetting OE volatility.
- **CapEx Allocation**: Aerospace majority, with increasing IGT share.


Howmet Aerospace Inc. (HWM) Q3 2025 Earnings Call Transcript

Revenue

Sales and Services Revenue

Financing Services Revenue

Other Revenue

Cost of Revenue

Cost of Goods and Services

Cost of Financing Services

Other Cost

Gross Profit

Other Operating Income

Operating Expenses

Selling, General and Administrative Expenses

Selling and Marketing Expenses

General and Administrative Expenses

Research and Development Expenses

Loss on Bad Debts

Loss on Impairment of Other Assets

Loss on Disposal of Assets

Other Operating Expenses

Operating Income

Non-Operating Income (Loss)

Income (Loss) from Affiliates

Income (Loss) from Associates

Income (Loss) from Joint ventures

Gain (Loss) on Other Investment

Gain (Loss) on Change in Fair Value

Gain (Loss) on Foreign Currency Exchange

Other Non-Operating Income (Loss)

Net Interest Expense

Interest Expense

Interest Income

Pretax Income From Continuing Operations

Income Tax Expense

Current Income Tax

Deferred Income Tax

Income Tax Adjustments

Net Income from Continuing Operations

Income from Discontinued Operations

Other Items Before Net Income

Net Income

Net Income Attributable to Minority Interests

Net Income Attributable to Owners of the Company

Preferred Stock Dividends

Other Adjustments

Net Income Attributable to Common Stockholders

Other Comprehensive Income

Total Comprehensive Income

Total Comprehensive Income Attributable to Minority Interests

Total Comprehensive Income Attributable to Owners of the Company

Basic EPS

Basic EPS from Continuing Operations

Basic EPS from Discontinued Operations

Diluted EPS

Diluted EPS from Continuing Operations

Diluted EPS from Discontinued Operations

HWM

HWM fundamentals

You can ask Aime