$ATI · ATI INC
ATI Inc. reported Q3 2026 results with sales of $1.424B (+26% YoY), GAAP diluted EPS of $1.37 (+76% YoY), and adjusted EPS of $1.46 (+72% YoY). Adjusted EBITDA of $328M exceeded the high-end of guidance by $13M, with margins expanding 300 bps to 23.0%. The company raised full-year 2026 adjusted EBITDA guidance by $35M to $1.190B–$1.200B, following a $125M raise last quarter.
- Q3 sales of $1.424B, up 26% year-over-year with growth across all key markets
- GAAP diluted EPS of $1.37, up 76% YoY; adjusted EPS of $1.46, up 72% YoY
- Adjusted EBITDA of $328M (23.0% margin), exceeding the high-end of guidance by $13M
- Full-year 2026 adjusted EBITDA guidance raised to $1.190B–$1.200B, a $35M increase at the midpoint
- AA&S segment EBITDA margin expanded to 25.8% from 17.3% YoY; HPMC aerospace & defense sales hit 94% of segment sales
Extended-hours trading shows ATI up +1.63% to $168.00 vs the regular-session close of $165.30, reflecting a positive initial reaction to the beat-and-raise quarter. Markets are closed; the full regular-session reaction is pending.
ATI delivered a second consecutive guidance raise on 26% sales growth and 46% adjusted EBITDA growth, confirming the aerospace super-cycle thesis with AA&S segment EBITDA margins nearly doubling YoY.
ATI's results underscore sustained aerospace & defense super-cycle demand, with commercial jet engine product sales nearly doubling YoY in AA&S and growing 34% in HPMC. The company's long-term agreements and differentiated nickel-alloy capabilities position it as a key beneficiary of elevated aircraft build rates.
HPMC segment EBITDA margin declined sequentially from 24.1% to 23.2% due to higher manufacturing and period costs, including costs tied to ramping commercial production of a new nickel-based superalloy. Forward-looking risks cited include raw material price volatility, labor disputes, and global supply/demand conditions.