ATI Inc. Reports 5% Sales Growth to $4.6 Billion for Fiscal Year Ending December 28, 2025

ATI Inc. reported a financial performance for the fiscal year ending December 28, 2025, with total sales reaching $4.6 billion, a 5% increase from $4.4 billion in the previous fiscal year. The company's gross profit also saw a significant rise, increasing by 12% to $1.0 billion, resulting in a gross profit margin of 22.0%, up from 20.6% in fiscal year 2024. Net income attributable to ATI was $404.3 million, or $2.85 per share, compared to $367.8 million, or $2.55 per share, in the prior year, marking a 10% increase in profitability.

The growth in sales was primarily driven by a 14% increase in demand from the aerospace and defense markets, which accounted for 68% of total sales. The High Performance Materials & Components (HPMC) segment generated $2.4 billion in sales, a 7% increase year-over-year, while the Advanced Alloys & Solutions (AA&S) segment reported $2.1 billion, up 3%. The company also noted a 24% increase in sales of defense products within the HPMC segment, which now represents nearly 11% of its total sales.

In terms of strategic developments, ATI continued to focus on enhancing its operational capabilities, investing approximately $280.6 million in capital expenditures aimed at expanding its production capacity, particularly in the aerospace and defense sectors. The company also repurchased approximately 6.4 million shares of its stock for $470 million during the fiscal year, reflecting its commitment to returning value to shareholders. Additionally, ATI's backlog of confirmed orders stood at $3.7 billion, with expectations that about 70% of these orders will be fulfilled in the upcoming fiscal year.

Operationally, ATI employed around 7,600 employees as of December 28, 2025, with 15% located outside the U.S. The company reported a slight increase in managed working capital as a percentage of sales, rising to 32.5% from 30.9% in the previous year, attributed to inventory builds to support increased operating levels. The company also highlighted its ongoing efforts to improve operational efficiencies and reduce working capital intensity in relation to sales growth.

Looking ahead, ATI expressed optimism about continued growth in the aerospace and defense markets, supported by long-term agreements with major customers and a strong demand for next-generation jet engines. The company anticipates that its strategic investments and operational improvements will further enhance its competitive position and financial performance in the coming years.