Carpenter Technology Reports Strong Third-Quarter Earnings, Raises Guidance for Fourth Quarter

Friday, 3 May 2024, 12:32

Carpenter Technology (NYSE: CRS) impressed investors with a solid 18.9% surge in share price fueled by stellar third-quarter 2024 earnings. CEO Tony Thene highlights expanded operating income, increased profit guidance, and meaningful cash flow growth, prompting an earlier projection of hitting $460 million to $500 million in adjusted operating profit by 2026. With increasing demand for specialty alloys in the aerospace market, the company is poised for sustained growth in the coming years.
https://store.livarava.com/8f189237-094a-11ef-a6c1-63e1980711b2.jpg
Carpenter Technology Reports Strong Third-Quarter Earnings, Raises Guidance for Fourth Quarter

Carpenter Technology's third-quarter earnings

CEO Tony Thene shared key takeaways:

  • Beat our guidance for the third quarter: adjusted operating income reached $90 million compared to guidance.
  • Increased guidance for the fourth quarter: adjusted operating profit now $110 million to $115 million.
  • 'Meaningful' cash flow in the third quarter: adjusted free cash flow of $61.9 million.
  • FY '27 guidance pulled forward: management anticipates $460 million to $500 million in adjusted operating profit in 2026.
  • Earnings growth is just beginning and early in the company's cycle.

Why Carpenter's growth can continue

Carpenter Technology's specialty alloys have a strong presence in the aerospace market, serving various segments from OEM to MRO, including companies like Boeing and Airbus. The company's margins react swiftly to revenue growth, potentially benefiting from the ongoing aerospace market supercycle.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


Related posts


Newsletter

Get the most reliable and up-to-date financial news with our curated selections. Subscribe to our newsletter for convenient access and enhance your analytical work effortlessly.

Subscribe