Howmet Aerospace Reports 29% Revenue Growth Driven by Data Center and Aerospace Demand
Howmet Aerospace (HWM) reported a significant third-quarter revenue increase of 29% year-over-year, reaching $2.7 billion. The company's growth is being propelled by two primary tailwinds: the urgent need for electrical power to support artificial intelligence data center expansion and increased demand for commercial aircraft engine spares as airlines extend the life of older fleets. Management has accelerated its outlook for industrial gas turbine (IGT) sales, now expecting to reach $2.5 billion by the end of the decade. To meet this surging demand and address production capacity constraints, Howmet is investing in seven new manufacturing plants and increasing engineering headcount. The company maintains a strong financial position, utilizing high free cash flow to fund growth and expand its share buyback program without increasing net debt.
Tickers: $HWM
Topics: Aerospace Spares Data Center Power Demand Guidance Raise Q3 Earnings Revenue Growth Share Buybacks