Howmet Aerospace Inc. reported record full year 2024 revenues of $7.4 billion, an increase of 12% year-over-year, primarily driven by 20% growth in the commercial aerospace market. Full year adjusted EBITDA, excluding special items, reached $1.9 billion, up 27% year-over-year, with an adjusted EBITDA margin of 25.8%.
The company achieved full year adjusted diluted earnings per share of $2.69, a 46% increase from the prior year, and generated $977 million in free cash flow, representing an 88% conversion of net income excluding special items. In the fourth quarter of 2024, revenue was $1.9 billion, up 9% year-over-year, and adjusted EBITDA was $507 million, up 27%.
Howmet Aerospace raised its full-year 2025 guidance, now projecting revenue between $7.93 billion and $8.13 billion, with the mid-point representing approximately 8% year-over-year growth. Adjusted EBITDA is expected to be between $2.105 billion and $2.155 billion, and adjusted earnings per share between $3.13 and $3.21.
The company deployed approximately $975 million of cash in full year 2024 through common stock repurchases, debt reduction, and dividends. This included $500 million in common stock repurchases during 2024 and an additional $50 million in January 2025. Gross debt was reduced by $365 million in 2024, resulting in annualized interest expense savings of approximately $37 million.
Management's 2025 outlook incorporates assumptions for Boeing 737-MAX production at an average of 25 aircraft per month and 787 at 6 aircraft per month, with Airbus A320 averaging mid-50s per month and A350 at approximately 6 per month. The company anticipates free cash flow in 2025 to exceed $1 billion, with approximately 85% conversion of net income excluding special items, while investing in additional capital expenditures for growth.
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