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Howmet raises 2025 forecast on robust aerospace demand
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Howmet raises 2025 forecast on robust aerospace demand
Jul 31, 2025 6:43 AM

July 31 (Reuters) - Howmet Aerospace ( HWM ) raised

full-year forecasts and topped second-quarter estimates on

Thursday, buoyed by strong demand for its fasteners and engine

components as plane makers ramp up jet production.

Growing demand for air travel has led airlines to order more

new jets, prompting plane makers to accelerate production,

benefiting aerospace suppliers such as Howmet, which counts

Airbus and Boeing ( BA ) as its customers.

"We acknowledge positive signs for narrow-body build rate

increases, particularly on the Boeing 737 MAX," Howmet CEO John

Plant said in a statement.

Boeing ( BA ) delivered 206 737 MAX jets through the first half of

the year, compared with 135 a year earlier.

Some prior delays as a result of supply-chain bottlenecks

has also forced airlines to extend the lifespan of older

aircraft, resulting in a surge in orders for aftermarket parts.

However, U.S. President Donald Trump's broad tariffs on

aluminum and steel, alongside levies on trading partners, have

stressed the fragile aerospace supply chain and pushed up costs.

Pennsylvania-based Howmet has said it intends to pass on

inflated costs to customers through price hikes in an attempt to

cushion the hit from tariffs.

It expects 2025 revenue to be between $8.08 billion and

$8.18 billion, compared with its earlier forecast of $7.88

billion and $8.18 billion.

Howmet also raised 2025 adjusted profit forecast to between

$3.56 and $3.64 per share, from $3.36 to $3.44 per share it

projected earlier.

Second-quarter revenue rose 9.2% to $2.05 billion, driven by

an 8% increase in commercial aerospace sales. Analysts on

average estimated $2.01 billion, according to data compiled by

LSEG.

On an adjusted basis, the company earned 91 cents per share,

also above expectations of 87 cents per share.

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