- Barnes Group Inc. B reported third-quarter FY21 sales growth of 20.8% year-over-year to $325 million, +20% on an organic basis, beating the consensus of $319.31 million.
- Industrial segment sales increased 17.6% Y/Y to $231.55 million, and operating margin expanded by 60 bps to 13%.
- Aerospace segment sales increased by 29.6% Y/Y to $93.51 million, and the adjusted operating margin expanded by 490 bps to 14.8%.
- Adjusted EPS improved to $0.55 compared to $0.30 in 3Q20, beating the consensus of $0.51.
- The operating income increased 39.9% Y/Y to $43.71 million, and the margin expanded by 180 bps to 13.4%.
- Barnes generated cash from operating activities year-to-date of $127.79 million, compared to $163.83 million a year ago. Free cash flow of $101.06 million.
- Aerospace OEM backlog was at $665 million, down 4% from June 2021. The company expects to convert ~40% of this backlog to revenue over the next 12 months.
- Barnes held cash and equivalents of $93.48 million.
- "Aerospace end markets continue to demonstrate solid recovery with improving flight activity. Industrial end markets, while seeing good customer demand, are experiencing some headwinds as supply chain issues remain a near-term challenge," said CEO Patrick J. Dempsey.
- FY21 Outlook: Barnes continues to expect organic sales to be up 11% - 12%. Operating margin to be ~12.5%, down from the prior outlook of ~13%, as raw material and freight costs are forecasted to impact Industrial business.
- It expects Adjusted EPS of $1.83 - $1.93 (prior $1.83 - $1.98) vs. consensus of $1.90.
- Price Action: B shares closed higher by 0.74% at $41.04 on Thursday.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in
