Please wait while we load the requested 10-Q report or click the link below:
ATI Announces First Quarter 2019 Results
Increased sales offset by unexpected operational headwinds; on track to deliver improved results for remainder of 2019
First Quarter 2019 Highlights
were $1.0 billion, 3% higher than Q1 2018
- High Performance Materials & Components (HPMC) sales of $601 million, increased 7% versus Q1 2018
- Flat Rolled Products (FRP) sales of $404 million, down 4% versus Q1 2018
segment operating profit was $61.7 million, or 6.1% of sales
- HPMC segment operating profit was $72.6 million, or 12.1% of sales
- FRP segment operating loss was $10.9 million, or (2.7)% of sales
- Both segments impacted by unexpected short-term operational headwinds
- Net income attributable to ATI was $15.0 million, or $0.12 per share
PITTSBURGH--(BUSINESS WIRE)--April 23, 2019--Allegheny Technologies Incorporated (NYSE: ATI) reported first quarter 2019 results, with sales of $1.0 billion and net income attributable to ATI of $15.0 million, or $0.12 per share. This compares to ATI’s first quarter 2018 sales of $979 million and net income attributable to ATI of $58.0 million, or $0.42 per share, and first quarter 2018 adjusted results of $43.3 million, or $0.32 per share, excluding a $15.9 million pre-tax, or $0.10 per share, gain on the sale of a 50% interest and subsequent deconsolidation of the A & T Stainless joint venture (JV).
“While our first quarter sales increased to $1 billion, our financial results were below our expectations as we faced unexpected operational headwinds in both of our business segments,” said Robert S. Wetherbee, ATI President and Chief Executive Officer. “We are working proactively to address challenges we faced in the form of short-term powder billet shortages and higher operating costs by ramping up our own production to offset future uncertainty. The company holds strong positions in high-value, growing markets, and the overall fundamentals of our businesses are solid. We are on track to deliver improved results in the second quarter and throughout the balance of 2019, and progress toward our longer-term objectives remains on pace.”
HPMC sales increased 7.2% in the first quarter 2019 compared to prior year primarily due to higher aerospace & defense market sales, led by growth in airframes and government and defense. Next-generation jet engine products sales increased by 8.9% and represented 52% of total first quarter 2019 HPMC jet engine product sales. Despite the increase in these sales, HPMC operating profit declined versus prior year to $72.6 million, or 12.1% of sales, due to the greater than anticipated operational and cost headwinds. “HPMC segment results were negatively impacted by the ongoing disruption in third party nickel powder billet supply, as well as the related operating costs to qualify materials and quickly ramp nickel powder production to help alleviate the shortage of incoming third-party powder billet. Segment results were also adversely impacted by the temporary margin compression caused by a recent steep and rapid drop in cobalt prices,” said Mr. Wetherbee.
The following information was filed by Allegheny Technologies Inc (ATI) on Tuesday, April 23, 2019 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.
View differences made from one quarter to another to evaluate Allegheny Technologies Inc's financial trajectory
Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were
removed , and by Allegheny Technologies Inc.