Howmet Aerospace: Lower Alcoa sales leads to 7% drop in segment revenue

Howmet Aerospace’s Forged Wheels business, which markets products under the Alcoa brand, has reported revenue of US $278 million during the second quarter of 2024. This represents a decrease of seven per cent year-on-year and is attributed to volumes shrinking by four per cent within the commercial transportation market as well as a decrease in aluminium and other inflationary cost pass through. Segment Adjusted EBITDA was $75 million, a year-on-year decrease of approximately seven per cent. Segment Adjusted EBITDA margin decreased approximately 20 basis points year over year, to 27.0 per cent.

Total company revenue was a record $1.88 billion in Q2 2024, up 14 per cent compared to a year earlier, primarily driven by 27 per cent growth occurring within in the commercial aerospace market. Net income amounted to $266 million.