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Sep 30, 2020

ATI Q3 2020 Earnings Report

ATI reported Q3 2020 results with sales of $598 million and a net loss attributable to ATI of $50.1 million, or $(0.40) per share.

Key Takeaways

Allegheny Technologies Incorporated reported third quarter 2020 results with sales of $598 million and a net loss attributable to ATI of $50.1 million, or $(0.40) per share. Adjusted net loss was $47.8 million, or ($0.38) per share. Adjusted EBITDA was $16.6 million, or 2.8% of sales.

Sales of $598 million reflecting challenged market conditions in commercial aerospace

Net loss attributable to ATI of $50.1 million, or $(0.40) per share

Adjusted EBITDA of $16.6 million, or 2.8% of sales

$572 million of cash at September 30, approximately $950 million of total liquidity

Total Revenue
$598M
Previous year: $1.02B
-41.3%
EPS
-$0.38
Previous year: $0.33
-215.2%
Managed Working Capital
$1.22B
Adjusted EBITDA
$16.6M
Previous year: $180M
-90.8%
Gross Profit
$38.1M
Previous year: $160M
-76.1%
Cash and Equivalents
$572M
Previous year: $511M
+11.9%
Total Assets
$5.06B
Previous year: $5.63B
-10.0%

ATI

ATI

ATI Revenue by Segment

Forward Guidance

We expect fourth quarter results to be negatively affected by the ongoing pandemic and its outsized impact on commercial aerospace, our largest end-market.

Positive Outlook

  • early signs of stabilization in our order books
  • expect modest improvements in commercial aerospace in 2021, starting with our jet engine materials and components in the second half of the year.
  • We continue to proactively seek opportunities to make ATI a more streamlined and profitable aerospace and defense supplier
  • emerging stronger as the aerospace industry recovers.

Challenges Ahead

  • fourth quarter results to be negatively affected by the ongoing pandemic
  • outsized impact on commercial aerospace, our largest end-market
  • We are working diligently to match our cost structure and inventories to demand.