Companies /Industrials

Howmet Aerospace Inc

NYSE: HWM Aerospace & Defense
$266.28
▼ $3.06 (−1.14%) today
Markets open · 3:41pm ET

Q2 2025 Earnings

Reported Jul 31, 2025, 7:05am ET · SEC source
$0.91
Beat +4.21%
EPS · est. $0.87
$2.1B
Beat +2.28%
Revenue · est. $2.0B
−4.9%
Trailing market
HWM vs S&P since report
6 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−10%−5%0Jul 31Aug 1report 7:05am ETearnings−3.1%−7.8%
−10%−5%0Jul 31Aug 1earnings−3.1%−7.8%
HWM −7.8%S&P 500 −3.1%
−12%−8%−4%0Jul 31Aug 1report 7:05am ETearnings−3.9%−7.8%
−12%−8%−4%0Jul 31Aug 1earnings−3.9%−7.8%
HWM −7.8%NASDAQ −3.9%
−8%−4%0+4%Jul 30Aug 7report 7:05am ETearnings−1.1%−6.6%
−8%−4%0+4%Jul 30Aug 7earnings−1.1%−6.6%
HWM −6.6%S&P 500 −1.1%
−8%−4%0+4%Jul 30Aug 7report 7:05am ETearnings−0.9%−6.6%
−8%−4%0+4%Jul 30Aug 7earnings−0.9%−6.6%
HWM −6.6%NASDAQ −0.9%
−6.44%
Day of report
+2.50%
Next session
+1.01%
One week
−3.64%
30 days

S&P 500 over the same 30 days: +1.30%.

Did HWM Beat Earnings? Q2 2025 Results

Howmet Aerospace posted a strong second quarter for 2025, beating Wall Street estimates on both the top and bottom lines as record revenue and expanding margins underscored the company's momentum in commercial and defense aerospace. The engineered components maker reported adjusted earnings per share of $0.91, ahead of the $0.87 consensus by 4.21%, while revenue climbed 9.2% year over year to $2.05 billion, topping estimates of $2.01 billion by 2.28%. The standout driver was broad-based aerospace demand, with defense aerospace revenue growing 21% and Engine Products, the company's largest segment, expanding 13% to $1.06 billion as Howmet added roughly 360 net headcount to support future production. Operating income margin widened 420 basis points to 25.4%, reflecting strong operational leverage across segments. Management raised full-year 2025 guidance across every key metric, lifting the adjusted EPS baseline to $3.60 and revenue to $8.13 billion, citing healthy passenger traffic, Boeing 737MAX build rate increases, and data center-driven industrial gas turbine demand as tailwinds heading into the second half.

Key Takeaways
  • Commercial aerospace market growth of 8% year over year
  • Defense aerospace market growth of 21% year over year
  • Industrial and other market growth of 17% year over year, driven by industrial gas turbines and oil and gas
  • Engine spares growth across all markets
  • Productivity gains in Fastening Systems and Engineered Structures
  • End of F-35 destocking benefiting Engineered Structures
  • Adjusted EBITDA margin expansion of 300 basis points year over year to 28.7%
  • Operating income margin expansion of 420 basis points year over year to 25.4%

“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.”

Howmet Aerospace CEO, on the earnings call

Forward Guidance & Outlook

Full year 2025 guidance raised on all metrics. Revenue baseline raised to $8.130B (range $8.080B–$8.180B, up $100M). Adjusted EBITDA baseline raised to $2.320B (range $2.300B–$2.340B, up $70M with 50 bps margin improvement to 28.5%). Adjusted EPS baseline raised to $3.60 (range $3.56–$3.64, up $0.20). Free cash flow baseline raised to $1.225B (range $1.175B–$1.275B, up $75M). Q3 2025 guidance: revenue $2.020B–$2.040B baseline $2.030B; Adj. EBITDA $575M–$585M baseline $580M at 28.6% margin; Adj. EPS $0.89–$0.91 baseline $0.90. Commercial aerospace growth driven by healthy passenger traffic, high OEM backlogs, and Boeing 737MAX build rate increases. Defense aerospace shows strength expected to carry through 2025. Industrial gas turbine demand remains strong driven by data center expansion. Commercial transportation market remains weak.

HWM YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$600.0M$1.2B$1.8B$1.9B$2.1BRevenue$420.0M$521.0MOperating Income$266.0M$407.0MNet Income
$0$600.0M$1.2B$1.8BRevenueOperating IncomeNet Income

HWM Revenue by Segment

Engine Products$1.1B+13.0%
Fastening Systems$431.0M+9.0%
Forged Wheels$276.0M−1.0%
Engineered Structures$290.0M+5.0%

Figures from SEC filings and company reports. Not investment advice.