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Mar 31, 2020

ATI Q1 2020 Earnings Report

ATI reported mixed results for Q1 2020 amidst COVID-19 impact, with sales decreasing but operating profit increasing.

Key Takeaways

Allegheny Technologies Incorporated reported a decrease in sales to $956 million, but an increase in business segment operating profit to $81.2 million. Net income attributable to ATI was $21.1 million, or $0.16 per share. The company withdrew its full-year 2020 guidance due to the uncertain impact of COVID-19.

Sales decreased by 5% compared to Q1 2019 but were in line with the previous year excluding divestitures.

Business segment operating profit increased by 32% year-over-year, reaching $81.2 million.

Cash on hand was $639 million, with managed working capital percentage of sales in line with the previous year.

Net income attributable to ATI was $21.1 million, or $0.16 per share, with adjusted net income at $26.6 million, or $0.20 per share.

Total Revenue
$956M
Previous year: $1.01B
-4.9%
EPS
$0.2
Previous year: $0.12
+66.7%
Segment Operating Profit Margin
8.5%
Effective Tax Rate
31%
Managed Working Capital
$1.36B
Gross Profit
$135M
Previous year: $131M
+2.8%
Cash and Equivalents
$639M
Previous year: $217M
+194.5%
Total Assets
$5.81B
Previous year: $5.49B
+5.8%

ATI

ATI

ATI Revenue by Segment

Forward Guidance

Due to current market uncertainty, the Company is withdrawing its full year 2020 guidance, but will provide additional information regarding its 2020 outlook on the first quarter earnings call.