Howmet Aerospace reported Fastening Systems revenue decreased 31% to $271 million in the third quarter of 2020 “due to declines in the commercial aerospace and commercial transportation markets, primarily driven by COVID-19 and 737 MAX production declines.”  Segment operating profit fell 68% to $33 million, driven by volume declines.

Overall Howmet revenue dropped 37% to $1.13 billion during the quarter, with operating income falling 71% to $73 million and operating margin losing 900 basis points to 8.8%.

“We continue to focus on price increases, variable cost flexing, structural cost reduction, and capex reduction to drive free cash flow,” stated CEO John Plant.

Fastening Systems revenue during the first nine months of 2020 declined 17% to $982 million, with operating profit down 33% to $199 million and capital expenditures totaling $24 million.

During Q3, Howmet laid off a total of 265 employees.

Layoffs at its plant in LaPorte, IN, began in early September when Howmet let 115 workers go.  Another 85 people are slating for layoffs on October 1, with 65 workers leaving on November 1, according to WSBT.

Howmet Aerospace officially split from Arconic on April 1 to become an independent company composed of engine products, fastening systems, engineered structures and forged wheels businesses.

Headquartered in Pittsburgh, Howmet Aerospace’s primary businesses focus on jet engine components, aerospace fastening systems and titanium structural parts for aerospace and defense applications, as well as forged wheels for commercial transportation.  Web: Howmet.com