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Mar 31, 2022

Howmet Aerospace Q1 2022 Earnings Report

Revenue and EPS exceeded guidance with increased share repurchases.

Key Takeaways

Howmet Aerospace reported a strong start to 2022, with revenue up 10% year over year to $1.32 billion and adjusted EPS exceeding guidance, up 41% year over year.

Revenue of $1.32 billion, up 10% year over year

Net income of $131 million, or $0.31 per share, versus $80 million, or $0.18 per share, in the first quarter 2021

Net income excluding special items of $132 million, or $0.31 per share

Adjusted EBITDA excluding special items of $300 million, up 9% year over year

Total Revenue
$1.32B
Previous year: $1.21B
+9.5%
EPS
$0.31
Previous year: $0.22
+40.9%
Gross Profit
$374M
Previous year: $336M
+11.3%
Cash and Equivalents
$520M
Previous year: $1.24B
-58.0%
Free Cash Flow
-$7M
Previous year: -$4M
+75.0%
Total Assets
$10.1B
Previous year: $11B
-7.7%

Howmet Aerospace

Howmet Aerospace

Howmet Aerospace Revenue by Segment

Forward Guidance

Howmet Aerospace provided guidance for Q2 2022 and full year 2022.

Positive Outlook

  • Q2 2022 Revenue: $1.350B - $1.390B
  • Q2 2022 Adj. EBITDA: $302M - $318M
  • Q2 2022 Adj. Earnings per Share: $0.31 - $0.33
  • FY 2022 Revenue: $5.560B - $5.720B
  • FY 2022 Adj. Earnings per Share: $1.33 - $1.45

Challenges Ahead

  • Reconciliations of the forward-looking non-GAAP measures to the most directly comparable GAAP measures are not available without unreasonable efforts.
  • Variability and complexity of the charges and other components excluded from the non-GAAP measures.
  • Effects of foreign currency movements.
  • Gains or losses on sales of assets.
  • Any future restructuring or impairment charges.

Revenue & Expenses

Visualization of income flow from segment revenue to net income