July 30 (Reuters) -

Aircraft parts maker Howmet Aerospace ( HWM ) on Tuesday

said customer Boeing Co ( BA ) was trimming orders for its

best-selling programs, as the planemaker grapples with a safety

crisis that has hit its production.

But parts orders continue to be above actual 737 and 787

production rates, Howmet CEO John Plant said on an analyst call.

Boeing ( BA ), which is set to report second-quarter results on

Wednesday, has been producing jets at a lower rate than its

stated goal of 38 737 aircraft per month to plug quality holes,

Reuters has reported. But the planemaker has been buying parts

from its suppliers higher than its production rate.

Parts procurement has been in focus as some aerospace

suppliers have been struggling to report consistent positive

cash flows in the last two years.

However, Howmet, the industry's biggest suppliers, has

produced strong results in recent quarters. On Tuesday, it

lifted its annual forecasts, driven by strong demand for engine

products and fastening systems.

The company also raised its buyback program by $2 billion

and quarterly dividend by 60% to 8 cents per share.

Shares of the company, which also supplies parts to Airbus

, jumped 12.8% to a record high of $93.44 after its

second-quarter results also topped estimates.

Pennsylvania-based Howmet now expects 2024 revenue between

$7.40 billion and $7.48 billion, up from its prior forecast of

$7.23 billion to $7.38 billion.

Howmet, one of the main suppliers of aerospace castings,

expects annual adjusted earnings between $2.53 and $2.57 per

share, compared with previous forecast of $2.31 to $2.39.

"The portion of the supply chain where Howmet sits,

particularly in advanced metal components for engines, continues

to see strong demand; price and execution are supportive as

well," said Seth Seifman, an analyst at J.P. Morgan.

On an adjusted basis, the company earned 67 cents per share

for the quarter ended June 30.

(Reporting by Anandita Mehrotra in Bengaluru; Editing by Anil

D'Silva and Maju Samuel)