Albany International Corp. (NYSE: AIN) has announced a preliminary update to its full-year outlook, largely due to revised revenue and profitability expectations for its aerospace business within the Engineered Composites (AEC) segment. The company has made adjustments to its labor, material input, and scrap cost assumptions over the duration of certain long-term contracts, resulting in an approximate $24 million negative estimate-at-completion (EAC) adjustment in the third quarter of 2024.
The updated outlook for the full year of 2024 includes total company revenue between $1.22 billion to $1.26 billion, with effective income tax rate estimated at approximately 27%. Capital expenditures are expected to be in the range of $90 million to $95 million. Adjusted diluted earnings per share are projected to be between $2.90 and $3.40, with the second half weighted towards the fourth quarter. Total company adjusted EBITDA is forecasted to be between $230 million to $250 million.
Specifically, for the Machine Clothing segment, revenue is expected to fall between $740 million to $760 million, with adjusted EBITDA in the range of $235 million to $245 million. In the AEC segment, revenue is forecasted to be between $480 million to $500 million, with adjusted EBITDA expected to range from $65 million to $75 million.
Albany International Corp. will review in detail its operating and financial performance when it reports its third-quarter results. The company's unaudited financial and operational information presented in the press release is preliminary and may change as the financial closing procedures are not yet complete.
The tables provided in the press release offer a reconciliation of forecasted full-year 2024 adjusted EBITDA and adjusted diluted EPS to the comparable GAAP measures. The company also mentioned that the unaudited financial and operational information included in the press release is not a substitute for full financial statements prepared in accordance with GAAP and may be impacted by financial closing procedures, final adjustments, and other developments.
A conference call is scheduled to discuss the announcement on October 3, 2024, at 8:30 a.m. Eastern Time, and a webcast will be available via the company’s investor relations website. The company also provided a disclaimer that the non-GAAP measures included in the release should not be considered in isolation or as a substitute for the related GAAP measures. The market has reacted to these announcements by moving the company's shares -10.2% to a price of $78.09. For the full picture, make sure to review Albany International's 8-K report.
