Specialty materials maker ATI tops Q3 profit estimates on higher aerospace demand

Reuters
Oct 28, 2025
Specialty materials maker ATI tops Q3 profit estimates on higher aerospace demand 

Overview

  • ATI Q3 revenue up 7% yr/yr to $1.13 bln, missing analyst expectations

  • Adjusted EPS of $0.85 beats analyst expectations, reflecting strong operational performance

  • Company raises full-year guidance for adjusted earnings and cash flow

Outlook

  • ATI raises full-year adjusted EPS guidance to $3.15 - $3.21

  • Company forecasts Q4 2025 adjusted EBITDA between $221M and $231M

  • ATI projects full-year adjusted free cash flow of $330M - $370M

Result Drivers

  • AEROSPACE & DEFENSE GROWTH - Co reports 21% increase in aerospace & defense sales, driving overall revenue growth

  • MARGIN IMPROVEMENT - Improved sales mix and pricing in HPMC and AA&S segments boosted margins

  • STRONG DEMAND - Increased demand for commercial jet engines and defense products boosted sales

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue

Miss

$1.12 bln

$1.12 bln (7 Analysts)

Q3 Adjusted EPS

Beat

$0.85

$0.74 (9 Analysts)

Q3 EPS

$0.78

Q3 Adjusted Net Income

$119.40 mln

Q3 Net Income

$110 mln

Q3 Adjusted EBITDA

$225.10 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the aerospace & defense peer group is "buy"

  • Wall Street's median 12-month price target for ATI Inc is $100.00, about 8.3% above its October 27 closing price of $91.71

  • The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 26 three months ago

Press Release: ID:nPn7L4m6za

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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