ATI

ATI Q2 2025 Earnings

Reported Jul 31, 2025 at 7:36 AM ET · SEC Source

Q2 25 EPS

$0.74

BEAT +3.76%

Est. $0.71

Q2 25 Revenue

$1.14B

MISS 1.37%

Est. $1.16B

vs S&P Since Q2 25

+119.9%

BEATING MARKET

ATI +139.0% vs S&P +19.1%

Market Reaction

Did ATI Beat Earnings? Q2 2025 Results

ATI posted a mixed second quarter in 2025, beating on earnings while falling just short on the top line, a combination that rattled investors and sent shares sharply lower after results were released. Adjusted EPS of $0.74 cleared the $0.71 consensus… Read more ATI posted a mixed second quarter in 2025, beating on earnings while falling just short on the top line, a combination that rattled investors and sent shares sharply lower after results were released. Adjusted EPS of $0.74 cleared the $0.71 consensus estimate by 3.76%, while revenue of $1.14 billion missed expectations by 1.37%, though it still represented 4.1% growth year-over-year. The clearest driver of profit strength was the commercial jet engine business, where sales surged 27% year-over-year to $447.80 million, anchoring the aerospace and defense segment's 67% share of total revenue and fueling a 14% climb in adjusted EBITDA to $207.70 million. Margins expanded to 18.2% from 16.7% a year ago, reflecting favorable pricing in nickel-based alloys and disciplined cost management. ATI also deployed $250 million in share repurchases during the quarter at an average price of $76.79. Looking ahead, management raised full-year guidance, now targeting adjusted EPS of $2.90 to $3.07 and adjusted EBITDA of $810 million to $840 million, citing long-term contract extensions with major airframe customers as demand is expected to build through 2026.

Key Takeaways

  • Commercial jet engine sales surged 27% YoY, representing 39% of total sales
  • Aerospace & defense sales of $762 million, up 11% YoY, representing 67% of total Q2 sales
  • HPMC segment EBITDA margin expanded to 23.7% from 20.2% YoY driven by favorable nickel-based alloy pricing
  • Recognition of $4.4 million in previously deferred employee retention credits in HPMC
  • Corporate expenses declined to $15.4M from $19.4M YoY due to lower incentive compensation
  • Lower interest expense of $25.4M vs $28.4M in Q2 2024
24/7 Wall St

ATI YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

24/7 Wall St

ATI Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 25 Q1 26

“Our second quarter performance demonstrates strong, sustained demand in ATI's aerospace and defense end markets. Consistent operational performance drove double-digit growth in net income, EPS and adjusted EBITDA on a year-over-year basis. We see demand increasing from our A&D customers as the industry looks toward ramping production and deliveries through the remainder of 2025 and continuing into 2026. Recent long-term contract extensions with both major airframe companies further underscore ATI's unique position in this industry.”

— Kimberly A. Fields, Q2 2025 Earnings Press Release