Allegheny Technologies Inc.
) said that its ATI 2003 lean duplex stainless has been selected
for topside secondary and outfitting structural components on a
major offshore project in the Norwegian North Sea. ATI2003 was
selected over 316L stainless and coated carbon steel given its
efficiency in dealing with weight concerns and corrosion.
ATI 2003 is a lean duplex stainless steel (LDSS) alloy and
provides greater strength and corrosion resistance and is also
more economically viable compared to 316L. Though 316L has been
in use for several years, recently its usage has shown
undesirable chloride pitting and corrosion cracking. Usage of
316L also requires huge maintenance costs. On the other hand,
ATI2003 provides more resistance to corrosion and has a 40-year
design life in the harsh North Sea environment.
Allegheny Technologies has developed one of the world's most
comprehensive families of duplex alloys. Duplex alloys
provide cost savings and can provide enhanced performance
compared to conventional stainless steels. ATI 2003 lean duplex
stainless steel is used for applications in power generation, oil
& gas, chemical processing, desalination, architecture and
water treatment and distribution.
Allegheny released its third quarter 2012 results in October
2012. The company reported third-quarter 2012 earnings of 32
cents per share, down from 56 cents (or 63 cents excluding
acquisition related charges) recorded a year ago. The results
missed the Zacks Consensus Estimate by 7 cents. Profit slid 43%
year over year to $35.3 million on lower sales.
Revenues dipped 9.8% year over year to $1,220.5 million, also
falling behind the Zacks Consensus Estimate of $1,297 million.
Sales fell as lower revenues across Engineered Products and
Flat-Rolled Products segments more than offset a modest growth in
the High Performance Metals division.
ALLEGHENY TECH (ATI): Free Stock Analysis
CARPENTER TECH (CRS): Free Stock Analysis
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Allegheny, which competes with
Carpenter Technology Corp.
), currently retains a Zacks Rank #4 (Sell). We have a long-term
(more than 6 months) Underpeform recommendation on the stock.