How Does Howmet Aerospace Company Work?

Howmet Aerospace's operations are centered on the creation and delivery of high-performance engineered solutions. These solutions are vital for mission-critical applications across the aerospace and defense sectors, as well as commercial transportation.

The company's product range includes essential jet engine components such as airfoils, rings, disks, and forgings. Additionally, they provide aerospace fastening systems, airframe structural components, with a focus on titanium structures, and forged aluminum wheels for heavy-duty vehicles.

Howmet's operational processes are vertically integrated, leveraging deep metallurgical expertise in titanium, aluminum, and nickel superalloys. This is combined with advanced manufacturing capabilities including investment casting, forging, extruding, hot forming, and machining.

The company's unique value proposition stems from its differentiated technologies, supported by approximately 1,150 granted and pending patents. These innovations enable the production of lighter, more fuel-efficient aircraft with a reduced carbon footprint, offering customers enhanced performance and improved maintenance efficiencies.

The separation from Arconic Inc. in April 2020 marked a significant milestone, enabling Howmet Aerospace to operate as a focused entity. This strategic decision allowed for a dedicated approach to its engineered products portfolio. The company has since achieved notable financial successes, including record revenue and profit in Q2 2025, underscoring its operational effectiveness.

Howmet Aerospace has encountered market headwinds, such as production disruptions impacting its key customers and a cyclical downturn in the commercial transportation sector in 2024. In response, the company has prioritized operational efficiencies and strategic capital investments. Notably, capital expenditures in 2024 reached $321 million, an increase of approximately $100 million year-over-year, to enhance airfoil production capacity, supported by long-term customer agreements.

The company's competitive edge is built on its advanced technology leadership, evidenced by nearly 1,150 granted and pending patents. These innovations facilitate the creation of lighter, more fuel-efficient components. Howmet's expertise in specialized materials and manufacturing processes, including vacuum-melted superalloys and advanced machining, provides a distinct advantage in producing critical aerospace parts.

Howmet holds a leading market position in aerospace fastening systems and forged aluminum wheels for heavy-duty trucks. The company is actively adapting to industry trends by concentrating on products that contribute to reduced emissions and improved fuel economy, aligning with the growing demand for sustainable solutions in aerospace and power generation. This focus is a key aspect of the Brief History of Howmet Aerospace.

Howmet Aerospace is a global leader in engineered solutions for aerospace and transportation. Its robust presence in commercial and defense sectors, which comprised approximately 69% of its revenue in Q1 2025, highlights its critical role as a primary supplier for most aircraft and jet engines.

The company faces risks including reliance on major manufacturers, potential production issues, and a downturn in the commercial transportation market. Additionally, global supply chain vulnerabilities, regulatory changes, and technological disruptions pose ongoing challenges.

The future outlook for Howmet Aerospace is positive, driven by strong commercial aerospace demand fueled by passenger traffic and OEM backlogs. Robust demand for engine spares and strength in defense aerospace, supported by increased government funding, also contribute to this optimism.

Howmet Aerospace has raised its full-year 2025 revenue guidance to between $8.08 billion and $8.18 billion. The company plans to enhance profitability through capacity expansion, operational efficiency, and shareholder value returns via dividends and share repurchases.