ATI Reports Strong Q4 2024 Growth

By Tamara Parker • Tuesday, February 04 10:34 • Permanent Link

ATI Inc. has reported its fourth quarter 2024 results, showcasing a strong performance with significant growth in sales and net income. Sales for the fourth quarter of 2024 were $1.17 billion, representing a 10% increase over the same period in 2023. Full-year 2024 sales also saw an impressive 5% increase, reaching $4.4 billion, the highest total since 2012.

Net income attributable to ATI for the fourth quarter of 2024 was $137.1 million, or $0.94 per share, marking a 66% increase from the third quarter of 2024. For the full year 2024, net income attributable to ATI was $368 million, or $2.55 per share.

The aerospace and defense sector played a significant role, representing 65% of the sales in the fourth quarter of 2024, up from 62% in the third quarter of 2024 and 63% in the fourth quarter of 2023. Full-year 2024 operating cash flow also demonstrated a remarkable increase, reaching $407 million, up from $86 million in 2023.

In terms of non-GAAP metrics, the adjusted net income attributable to ATI for the fourth quarter of 2024 was $114.6 million, or $0.79 per share, reflecting a 33% increase from the same period in 2023. ATI's adjusted EBITDA for the fourth quarter of 2024 was $209.8 million, representing 17.9% of sales. Full-year 2024 free cash flow also saw a substantial 50% increase over 2023, reaching $248 million.

The company's high-performance materials and components (HPMC) segment reported sales of $634.2 million in the fourth quarter of 2024, reflecting a 15% increase from the third quarter of 2024. The advanced alloys and solutions (AA&S) segment also experienced growth, with sales of $538.5 million, marking an 8% increase from the third quarter of 2024.

ATI's outlook for 2025 is optimistic, with the company expecting adjusted EBITDA for the full year to range between $800 million and $840 million, and adjusted earnings per share to be between $2.80 and $3.00. The company also anticipates free cash flow for the full year to be between $240 million and $360 million, with capital expenditures projected to be between $260 million and $280 million.

These results and forecasts indicate ATI's strong positioning for continued growth and value in 2025 and beyond, driven by robust demand in its end markets and a focus on operational improvements. The market has reacted to these announcements by moving the company's shares 9.1% to a price of $63.25. For the full picture, make sure to review ATI's 8-K report.

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