Carpenter Technology Provides Update on Expected Third Quarter Earnings
04/11/2014 - Carpenter Technology Corp. said weather-related expenses in the first quarter of the year were roughly double what it expected, negatively impacting earnings.
Carpenter Technology Corp. announced that it now anticipates earnings per diluted share to be in the range of US$0.54 to US$0.58 for its third fiscal quarter which ended 31 March 2014. These earnings include approximately US$0.10 per share of non-recurring, weather-related energy expense.
"The impact of weather-related expense was roughly double what we expected and communicated in January. In addition, while Specialty Alloys Operations realized double digit sequential quarterly volume growth, this gain was less than we expected in January,” said William A. Wulfsohn, president and chief executive officer.
“At the same time, we made great progress on multiple fronts. We successfully completed the primary phase of our Athens construction below budget and ahead of schedule. In fact, we have already shipped commercial product from the facility to the aerospace industry. Now, with the majority of this project complete, we expect to return to positive cash generation after the third quarter.
“Our strategic position with heavy concentration in the attractive and growing aerospace and energy markets helped drive a substantial increase in our backlog during the quarter. As our production lead times have increased in several key manufacturing areas, we expect this increased backlog to benefit our financial performance in fiscal year 2015, which begins in July.”
Carpenter Technology Corp. produces and distributes premium alloys, including special alloys, titanium alloys and powder metals, as well as stainless steels, alloy steels and tool steels.
"The impact of weather-related expense was roughly double what we expected and communicated in January. In addition, while Specialty Alloys Operations realized double digit sequential quarterly volume growth, this gain was less than we expected in January,” said William A. Wulfsohn, president and chief executive officer.
“At the same time, we made great progress on multiple fronts. We successfully completed the primary phase of our Athens construction below budget and ahead of schedule. In fact, we have already shipped commercial product from the facility to the aerospace industry. Now, with the majority of this project complete, we expect to return to positive cash generation after the third quarter.
“Our strategic position with heavy concentration in the attractive and growing aerospace and energy markets helped drive a substantial increase in our backlog during the quarter. As our production lead times have increased in several key manufacturing areas, we expect this increased backlog to benefit our financial performance in fiscal year 2015, which begins in July.”
Carpenter Technology Corp. produces and distributes premium alloys, including special alloys, titanium alloys and powder metals, as well as stainless steels, alloy steels and tool steels.
