Howmet Aerospace Inc. reported record second quarter 2025 revenue of $2.05 billion, a 9% increase year-over-year, driven by 8% growth in commercial aerospace, 21% in defense aerospace, and 17% in industrial and other markets. The company achieved record adjusted net income of $371 million, or $0.91 per share, and record adjusted EBITDA of $589 million, up 22% year-over-year, with a margin of 28.7%.
Free cash flow for the quarter was a record $344 million, marking the ninth consecutive quarter of positive free cash flow generation. Segment performance was strong, with Engine Products revenue up 13% to $1.1 billion and Segment Adjusted EBITDA up 20% to $349 million, achieving a 33.0% margin.
Howmet Aerospace significantly raised its full-year 2025 guidance across all metrics. The baseline for revenue was increased by $100 million to $8.13 billion, adjusted EBITDA by $70 million to $2.32 billion (with a 50 basis point margin increase), adjusted EPS by $0.20 to $3.60, and free cash flow by $75 million to $1.225 billion.
The company continued to invest in growth, with capital expenditures up approximately 60% year-over-year in the first half of 2025. Shareholder returns remained a priority, with $175 million of common stock repurchases in the second quarter and an additional $100 million in July, bringing year-to-date repurchases to $400 million.
Management noted continued strong demand in commercial aerospace, defense aerospace, and industrial gas turbines, fueled by data center expansion. The company also paid down $76 million of its USD Term Loan in the quarter, further strengthening its balance sheet.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.