(Reuters) -Howmet Aerospace on Thursday raised its 2025 profit forecast on robust demand for the U.S. supplier’s fasteners and other critical aircraft parts as planemakers try to produce more jets.
The updated outlook, which includes current assumptions on tariff impacts, projects adjusted profit per share between $3.36 and $3.44, up from the previous forecast of $3.13 to $3.21.
The Pittsburgh-based supplier in February forecast better-than-expected first-quarter revenue and profits on strong aircraft demand, but had taken a conservative outlook for the full year, as planemakers wrestle with delays and tariffs.
Howmet, which sells parts to planemakers Boeing and Airbus, also warned customers by letter in April that it could halt some shipments if impacted by tariffs announced by U.S. President Donald Trump, Reuters reported.
The letter, which left room for negotiations over sharing the cost of tariffs, comes as some companies in the fragile aerospace supply chain attempt to pass on the burden of higher costs due to U.S. duties on imported aluminum and steel and parts from some countries.
The U.S. aviation industry is lobbying the White House for exemptions from tariffs.
Howmet, one of the main suppliers of aerospace castings, is also prioritizing long-term deals after a strong 2024, as it sees fresh demand from customers after a major fire earlier this year at its peer SPS Technologies’ parts factory hit supply.
It reported a first-quarter revenue of $1.94 billion, up 6.4% from a year ago.
(Reporting By Allison Lampert in Montreal, Utkarsh Shetti and Anandita Mehrotra in Bengaluru; Editing by Vijay Kishore)
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