ATI Inc. reported its first quarter 2024 results, with sales reaching $1.04 billion, up modestly from the first quarter of 2023. The net income attributable to ATI was $66.1 million, or $0.46 per share, reflecting a decrease from the previous quarter and the same period last year. However, the company's aerospace and defense sales saw a significant increase, reaching $616 million in the first quarter of 2024, up from $576 million in the first quarter of 2023.
The non-GAAP information* for the first quarter of 2024 showed adjusted net income attributable to ATI of $68.4 million, or $0.48 per share, and ATI adjusted EBITDA of $151 million, or 14.5% of sales. These figures represent a decline from the fourth quarter of 2023, with adjusted net income down 26% and adjusted EBITDA down 6% compared to the previous quarter.
The company's High Performance Materials & Components (HPMC) segment saw sales of $529.9 million in the first quarter of 2024, a decrease of 9% from the previous quarter. However, the segment's EBITDA was $97.6 million, or 18.4% of sales. The Advanced Alloys & Solutions (AA&S) segment reported sales of $513.0 million, a 7% increase from the fourth quarter of 2023, with segment EBITDA reaching $71.8 million, or 14.0% of sales.
In terms of corporate items and cash, the first quarter of 2024 saw restructuring and other charges of $3.1 million, lower than the $16.8 million reported in the fourth quarter of 2023. The company's cash on hand at the end of March 2024 was $394 million, with available additional liquidity under the asset-based lending (ABL) credit facility at approximately $557 million.
Looking ahead, ATI's CEO, Robert S. Wetherbee, expressed confidence in the company's outlook, citing a robust backlog of commercial aircraft orders and the potential for achieving financial targets. The company aims to surpass $5 billion in revenue and $1 billion in adjusted EBITDA by 2027.
Today the company's shares have moved 16.3% to a price of $60.34. For the full picture, make sure to review ATI's 8-K report.