Allegheny Technologies Stock Earnings Reports

ATI reported a strong start to 2026 with Q1 revenue of $1.15B, adjusted EBITDA of $232M (up 19% YoY) and an adjusted EBITDA margin of ~20% (up >300 bps YoY). Adjusted free cash flow improved to $75M (vs. a use of $143M in Q1 2025). Order backlog hit an all-time high of $4.1B (up 10% sequentially) with lead times extending for differentiated products. Management raised full-year guidance: adjusted EBITDA $1.01B–$1.06B (midpoint $1.035B, +20% YoY), adjusted EPS $4.20–$4.48, and adjusted free cash flow $465M–$525M (midpoint $495M). Key demand drivers are aerospace & defense (69% of Q1 revenue), with jet engine sales +12% YoY and defense +9% YoY; missile-related revenue more than doubled YoY (still a small base but accelerating). Strategic wins include a renewed 5-year naval nuclear agreement (~$1B over term) and a 5-year Cameco agreement (~$250M) in specialty energy. Operational execution improved throughput (+15% output at primary melt facilities), yields and on-time shipments; debottlenecking and remelt/titanium investments are on schedule (nickel remelt late 2026, primary VIM melting 2027). Management is prioritizing capacity toward higher-value aerospace, defense and specialty energy products (80/20 focus), is reducing exposure to lower-margin industrial/medical/electronics, and continues to pass through tariffs and inflation where contractually allowed. CapEx guidance remains $280M–$300M (with $55M–$65M customer-funded). Q1 buybacks totaled $75M and total remaining authorization is $545M. Overall tone: high confidence in revenue conversion, margin expansion and sustained free-cash-flow generation, with emphasis on converting backlog and long-term contracts into earnings.