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Revenue from Contracts with Customers
 9 Months Ended
Sep. 30, 2021
Revenue from Contract with Customer [Abstract]  
Revenue from Contracts with Customers Revenue from Contracts with Customers
Disaggregation of Revenue
The Company operates in two business segments: High Performance Materials & Components (HPMC) and Advanced Alloys & Solutions (AA&S). Revenue is disaggregated within these two business segments by diversified global markets, primary geographical markets and diversified products. Comparative information of the Company’s overall revenues (in millions) by global and geographical markets for the third quarters and nine months ended September 30, 2021 and 2020 were as follows:
(in millions)Third quarter ended
September 30, 2021September 30, 2020
HPMCAA&STotalHPMCAA&STotal
Diversified Global Markets:
Aerospace & Defense$207.5 $75.4 $282.9 $171.8 $74.3 $246.1 
Energy*57.5 108.7 166.2 24.4 106.0 130.4 
Automotive2.1 89.7 91.8 1.5 57.9 59.4 
Food Equipment & Appliances— 51.6 51.6 — 33.8 33.8 
Electronics0.4 34.4 34.8 0.2 45.7 45.9 
Medical16.8 17.5 34.3 10.6 16.7 27.3 
Construction/Mining5.6 19.7 25.3 4.0 24.3 28.3 
Other10.1 28.7 38.8 8.8 18.0 26.8 
Total$300.0 $425.7 $725.7 $221.3 $376.7 $598.0 
(in millions)Nine Months Ended
September 30, 2021September 30, 2020
HPMCAA&STotalHPMCAA&STotal
Diversified Global Markets:
Aerospace & Defense$605.9 $212.4 $818.3 $782.9 $321.3 $1,104.2 
Energy*136.6 297.0 433.6 71.3 397.2 468.5 
Automotive5.5 245.8 251.3 4.5 182.2 186.7 
Electronics0.9 132.8 133.7 0.7 117.9 118.6 
Food Equipment & Appliances0.1 107.6 107.7 0.1 131.3 131.4 
Medical42.6 52.7 95.3 37.9 57.9 95.8 
Construction/Mining16.8 72.9 89.7 14.3 92.4 106.7 
Other33.1 71.7 104.8 30.6 81.3 111.9 
Total$841.5 $1,192.9 $2,034.4 $942.3 $1,381.5 $2,323.8 
*Includes the oil & gas, downstream processing, and specialty energy markets.
(in millions)Third quarter ended
September 30, 2021September 30, 2020
HPMCAA&STotalHPMCAA&STotal
Primary Geographical Market:
United States$140.8 $256.5 $397.3 $129.3 $219.3 $348.6 
Asia58.3 96.2 154.5 19.9 103.0 122.9 
Europe85.3 26.0 111.3 60.7 34.1 94.8 
Canada9.9 8.5 18.4 4.4 8.5 12.9 
South America, Middle East and other5.7 38.5 44.2 7.0 11.8 18.8 
Total$300.0 $425.7 $725.7 $221.3 $376.7 $598.0 
(in millions)Nine Months Ended
September 30, 2021September 30, 2020
HPMCAA&STotalHPMCAA&STotal
Primary Geographical Market:
United States$426.7 $700.2 $1,126.9 $522.8 $909.1 $1,431.9 
Asia119.0 313.5 432.5 72.6 288.3 360.9 
Europe250.7 87.1 337.8 286.2 104.1 390.3 
Canada27.4 28.3 55.7 21.1 30.0 51.1 
South America, Middle East and other17.7 63.8 81.5 39.6 50.0 89.6 
Total$841.5 $1,192.9 $2,034.4 $942.3 $1,381.5 $2,323.8 
Comparative information of the Company’s major high-value and standard products based on their percentages of sales is included in the following table. In conjunction with the Company’s announced ongoing exit of lower-margin standard stainless sheet products, in the fourth quarter of 2020 ATI reclassified certain items as High-Value Products within AA&S segment results. Prior period information reflects these reclassifications. Hot-Rolling and Processing Facility (HRPF) conversion service sales in the AA&S segment are excluded from this presentation.
Third quarter ended
September 30, 2021September 30, 2020
HPMCAA&STotalHPMCAA&STotal
Diversified Products and Services:
High-Value Products
     Nickel-based alloys and specialty alloys46 %31 %37 %38 %29 %32 %
     Precision rolled strip products— %33 %19 %— %28 %18 %
     Precision forgings, castings and components35 %— %15 %30 %— %11 %
     Titanium and titanium-based alloys19 %7 %12 %32 %8 %17 %
     Zirconium and related alloys— %15 %9 %— %16 %10 %
Total High-Value Products100 %86 %92 %100 %81 %88 %
Standard Products
     Standard stainless products— %14 %8 %— %19 %12 %
Total100 %100 %100 %100 %100 %100 %
Nine Months Ended
September 30, 2021September 30, 2020
HPMCAA&STotalHPMCAA&STotal
Diversified Products and Services:
High-Value Products
     Nickel-based alloys and specialty alloys43 %27 %34 %38 %29 %34 %
     Precision rolled strip products— %34 %19 %— %22 %13 %
     Precision forgings, castings and components37 %— %16 %34 %— %14 %
     Titanium and titanium-based alloys20 %7 %12 %28 %10 %18 %
     Zirconium and related alloys— %17 %10 %— %14 %9 %
Total High-Value Products100 %85 %91 %100 %75 %88 %
Standard Products
     Standard stainless products— %15 %9 %— %25 %12 %
Total100 %100 %100 %100 %100 %100 %
The Company maintained a backlog of confirmed orders totaling $1.7 billion and $1.4 billion at September 30, 2021 and 2020, respectively. Due to the structure of the Company’s long-term agreements, approximately 80% of this backlog at September 30, 2021 represented booked orders with performance obligations that will be satisfied within the next 12 months. The backlog does not reflect any elements of variable consideration.
Contract balances
As of September 30, 2021 and December 31, 2020, accounts receivable with customers were $506.1 million and $350.1 million, respectively. The following represents the rollforward of accounts receivable - reserve for doubtful accounts and contract assets and liabilities for the nine months ended September 30, 2021 and 2020:
(in millions)
Accounts Receivable - Reserve for Doubtful AccountsSeptember 30,
2021		September 30,
2020
Balance as of beginning of fiscal year$4.3 $4.6 
Expense to increase the reserve0.4 0.1 
Write-off of uncollectible accounts(0.6)(0.4)
Balance as of period end$4.1 $4.3 
(in millions)
Contract Assets
Short-termSeptember 30,
2021		September 30,
2020
Balance as of beginning of fiscal year$38.9 $38.5 
Recognized in current year74.3 55.8 
Reclassified to accounts receivable(49.0)(52.7)
Impairment— — 
Reclassification to/from long-term and contract liability(8.5)0.1 
Balance as of period end$55.7 $41.7 
Long-termSeptember 30,
2021		September 30,
2020
Balance as of beginning of fiscal year$— $0.1 
Recognized in current year— — 
Reclassified to accounts receivable— — 
Impairment— — 
Reclassification to/from short-term— (0.1)
Balance as of period end$— $— 
(in millions)
Contract Liabilities
Short-termSeptember 30,
2021		September 30,
2020
Balance as of beginning of fiscal year$111.8 $78.7 
Recognized in current year102.0 121.5 
Amounts in beginning balance reclassified to revenue(74.4)(42.9)
Current year amounts reclassified to revenue(46.2)(65.6)
Divestiture(0.8)— 
Other0.2 — 
Reclassification to/from long-term and contract asset(5.9)6.1 
Balance as of period end$86.7 $97.8 
Long-termSeptember 30,
2021		September 30,
2020
Balance as of beginning of fiscal year$32.0 $25.9 
Recognized in current year45.4 12.9 
Amounts in beginning balance reclassified to revenue(0.8)(0.8)
Current year amounts reclassified to revenue— — 
Other— — 
Reclassification to/from short-term(2.6)(6.1)
Balance as of period end$74.0 $31.9 
Contract costs for obtaining and fulfilling a contract were $5.3 million and $5.4 million as of September 30, 2021 and December 31, 2020, respectively, and are reported in other long-term assets on the consolidated balance sheet. Contract cost amortization expense for the three and nine months ended September 30, 2021 was $0.2 million and $0.7 million, respectively.
Contract cost amortization expense for the three and nine months ended September 30, 2020 was $0.4 million and $1.1 million, respectively.