EarningsQ2 2026 Earnings Report
MX:ATI Q2 2026 EPS Results
Actual EPS$22.26
Consensus EPS$18.73
Beat/MissBeat by +$3.53
One Year Ago EPS$13.39
MX:ATI Q2 2026 Revenue Results
Actual Revenue$22.82B
Expected Revenue$22.00B
Beat/MissBeat by +$816.50M
YoY Revenue Growth+10.58%
Earnings Announcement Details
QuarterQ2 2026
Date08/06/2026
TimeBefore Open
Conference CallThursday, August 6, 2026
MX:ATI Upcoming Earnings
ATI's next earnings date is estimated for November 3, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:ATI Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call presents a clearly positive picture: strong Q2 results that materially exceeded guidance, significant margin expansion, record backlog, a meaningfully raised full‑year outlook across EBITDA, EPS and free cash flow, and clear evidence of AA&S becoming a durable second earnings engine. There are execution and timing headwinds—primarily HPMC qualification delays that shifted revenue into the second half, a quarter‑over‑quarter decline in Specialty Energy, and working capital/inventory build to support future ramps—but management provided detailed plans (Elevation, targeted investments, customer‑funded capex) and reaffirmed confidence in sequential H2 strength and sustainable mid‑ to long‑term improvements. Overall, highlights substantially outweigh the lowlights.Company Guidance
Strong Adjusted EBITDA and Margin Expansion
Second quarter adjusted EBITDA of $284 million, up 37% year-over-year and $29 million above the high end of prior guidance. Consolidated adjusted EBITDA margin expanded 440 basis points year-over-year to 22.6%.
Revenue Growth and Run Rate
Revenue increased 11% year-over-year to $1.3 billion, representing an annualized run rate of more than $5 billion.
Record Backlog with Multi‑year Visibility
Record backlog of $4.4 billion, up 18% year-over-year and 7% sequentially; ~70% of backlog expected to convert into revenue over the next 12 months and increasingly reflects long-term agreements and sole-source positions.
Material Upgrade to Full‑Year Outlook
Raised full-year adjusted EBITDA midpoint to $1.160 billion (≈35% year-over-year growth), adjusted EPS midpoint to $5.04 (+56% year-over-year) and adjusted free cash flow midpoint to $575 million (+51% year-over-year).
AA&S Segment Transformation and Performance
AA&S sales up 17% year-over-year to $624 million; segment EBITDA margin expanded 930 basis points to 23.7% (all‑time high). Excluding a $10M asset sale gain, underlying AA&S EBITDA margin was ~22% vs 14% a year ago, reflecting better mix, pricing and execution.
HPMC Steady Growth and Margin
HPMC sales increased 5% year-over-year to $637 million; segment EBITDA margin expanded 40 basis points to 24.1%. Management reaffirms HPMC as the largest long-term growth platform with sequential improvement expected in H2.
Cash Flow Improvement and Free Cash Flow Targets
Adjusted free cash flow in Q2 was $69 million; first half free cash flow improved to $143 million vs a use of $50 million in H1 2025. Full-year free cash flow midpoint of $575M implies 51% year-over-year improvement and high‑80s % free cash flow conversion with a target >90% over time.
Capacity Investments and Future Revenue Upside
Targeted investments: Chihuahua (Mexico) inspection/testing facility and EB2 titanium furnace; nickel re-melt expansion with new VIM furnace on schedule for end of 2027. These nickel investments expected to increase capacity ~15–20% by early 2028 and deliver ≈$350 million incremental annual revenue by 2028.
Commercial Strength in Key End Markets
Jet engine revenue grew 13% year-over-year and 8% sequentially; management expects high teens jet engine revenue growth for the full year. Defense revenue rose 36% year-over-year to an all-time high, with full-year defense growth raised to the high teens.
Improved Shareholder Returns Optionality
Share repurchases prioritized; $50 million repurchased in Q2 and $495 million remaining under the current repurchase authorization.
MX:ATI Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed