Howmet Aerospace increases capital expenditures by 50%

Howmet Aerospace Inc. recently participated in the Bank of America Global Industrials Conference. CEO John Plant shared insights about the company's current position and future plans. During the event, Plant discussed demand from commercial original equipment manufacturers (OEMs). He noted that Airbus is looking to increase its aircraft production, which would be beneficial for Howmet. In contrast, Boeing's situation is mixed. The company has a demand forecast but is experiencing some inventory corrections in certain product lines. Plant mentioned that demand is generally increasing in most segments served by Howmet. This includes the gas turbine and oil and gas industries. However, he pointed out that the commercial truck segment shows a slight decline in demand. Regarding capital investments, Howmet significantly increased its expenditures in 2024 by about 50%. This increase was driven by market opportunities, and Plant indicated that they are focused on achieving strong net income from these investments. He suggested that this trend of investment will continue as the market evolves.