Steel Mills
October 29, 2020
ATI Suffers Loss in Q3 as Pandemic Stalls Aerospace
Written by Sandy Williams
It’s an understatement to say it’s been a challenging year for Allegheny Technologies, Inc., said President and CEO Robert Wetherbee during ATI’s third-quarter earnings call. Commercial aerospace is ATI’s largest end market and was devastated by the COVID-19 pandemic. Sales in the jet engine segment plunged 68 percent year over year and 47 percent in the airframe segment. OEMs spent the third quarter destocking excess inventory, build rates remained low and weak demand was noted throughout the supply chain.
Results for ATI’s energy segment fell 40 percent, driven by weak demand attributed to global oil inventories and low energy prices. Demand for civilian nuclear, pollution control and renewable applications remained steady.
