Howmet Aerospace Inc. (HWM) shares are up 10.57% to $112.96 as of 12:07 pm on Wednesday, following the release of its third-quarter 2024 earnings report that exceeded expectations and a boost in its full-year adjusted EPS guidance. The company reported adjusted earnings per share of $0.71, surpassing the consensus estimate of $0.65, and a 27% year-over-year increase in adjusted EBITDA to $487 million, resulting in a margin expansion of approximately 350 basis points to 26.5%. Revenue for the quarter rose 11% year-over-year to $1.84 billion, driven by a 17% growth in the commercial aerospace segment, although it slightly missed the consensus estimate of $1.852 billion. Howmet also announced a 25% planned increase in its common stock dividend, pending board approval, and has repurchased $400 million in shares year-to-date.
The company raised its full-year 2024 adjusted EPS guidance to a range of $2.66 to $2.67, up from the previous range of $2.53 to $2.57, while slightly trimming its revenue outlook to between $7.39 billion and $7.43 billion. The market responded positively to the robust earnings performance and the optimistic outlook for 2025, which anticipates a 7.5% year-over-year revenue growth driven by strong demand in the commercial aerospace sector.