Apr 25, 2017 2 min read

PITTSBURGH – Allegheny Technologies Inc. on Tuesday reported first quarter 2017 sales of $865.9 million and net income of $17.5 million, or 16 cents per share.

The results compared with a loss of $101.2 million or 94 cents per share a year ago.

ATI’s earnings per share beat the Zacks Consensus Estimate of 11 cents, as did the company’s revenues, which were ahead of the Zacks Consensus Estimate of $850.5 million.

The Pittsburgh-based maker of specialty steel products said its business segment operating profit improved to $69.9 million, or 8.1 percent of sales.

“First quarter 2017 sales grew by 14 percent compared to the same 2016 period. Net income was $17 million, or 16 cents per share, compared to a significant loss in the first quarter 2016,” said Chairman, President and CEO Rich Harshman in a statement.

“This was a good start toward achieving our goal of sustainable long-term profitable growth.”

The company said aerospace and defense sales increased 6 percent, to $417 million, compared to the fourth quarter of 2016, while its High Performance Materials & Components segment saw continued growth in product sales for next-generation jet engines, which represented more than one-third of HPMC commercial jet engine sales.

Harshman said ATI’s Flat Rolled Products segment results — with $355 million in sales, or 11 percent higher than the fourth quarter 2016, reflected improved demand and product mix, benefits from cost reduction and restructuring actions, as well as a one-time benefit from a change in how the ferrochrome surcharge is calculated.”

ATI’s sales to the key global markets of aerospace and defense, oil & gas, electrical energy, automotive and medical represented 80 percent of its first quarter sales, with sales to the aerospace and defense markets of $417 million, representing 48 percent of ATI sales.