Carpenter Technology (CRS) Reports Record Q1 Operating Income

By Bobby Samwell • Wednesday, October 30 06:09 • Permanent Link

Carpenter Technology Corporation (NYSE: CRS) has reported its financial results for the fiscal first quarter ended September 30, 2024. The company's operating income for the quarter was $113.6 million, with earnings per diluted share of $1.67. Adjusted operating income was reported at $117.2 million, and adjusted earnings per diluted share were $1.73 for the same period.

The first quarter of fiscal year 2025 delivered a record $117.2 million of adjusted operating income, marking a significant increase of 70 percent year-over-year. The specialty alloys operations ("SAO") segment also exceeded expectations, reporting operating income of $134.5 million, up 66 percent year-over-year. The SAO segment also achieved an adjusted operating margin of 26.3 percent, a substantial increase from 19.4 percent in the first quarter of the previous year.

The company's net sales for the first quarter of fiscal year 2025 were $717.6 million, up from $651.9 million in the first quarter of fiscal year 2024, representing an increase of 10 percent. Operating income for the same period showed significant growth, reaching $113.6 million as compared to $69.0 million in the prior year period. Adjusted operating income, excluding special items, was reported at $117.2 million, showing positive growth from $69.0 million in the first quarter of fiscal year 2024.

Earnings per diluted share for the first quarter of fiscal year 2025 were $1.67, compared to $0.88 per diluted share in the prior year's first quarter. Adjusted earnings per diluted share for the same period were $1.73, up from $0.88 in the first quarter of fiscal year 2024.

The company also demonstrated a remarkable improvement in cash provided from operating activities, reporting $40.2 million in the first quarter of fiscal year 2025 compared to $7.4 million in the same quarter of the previous year. Additionally, adjusted free cash flow for the first quarter of fiscal year 2025 was $13.3 million, a notable increase from negative $14.6 million in the same quarter of the previous year.

Carpenter Technology Corporation also executed $32.1 million in share repurchases against a recent repurchase authorization of $400.0 million, signaling confidence in the company's performance and future prospects.

As a result of these announcements, the company's shares have moved -2.0% on the market, and are now trading at a price of $162.75. Check out the company's full 8-K submission here.

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