Kaman Earnings: Everything You Must Know Now

Kaman Corporation (NASDAQ:KAMN) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

Kaman Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 8.06% to $0.67 in the quarter versus EPS of $0.62 in the year-earlier quarter.

Revenue: Rose 6.47% to $431.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Kaman Corporation reported adjusted EPS income of $0.67 per share. By that measure, the company beat the mean analyst estimate of $0.59. It beat the average revenue estimate of $423.76 million.

Quoting Management: Neal J. Keating, Chairman, President and Chief Executive Officer, stated, “We achieved strong overall results for the second quarter led by the performance at Aerospace and the sequential improvement in operating profit at Distribution.
Aerospace delivered an operating profit margin of 17.8% for the quarter, due to a favorable product mix led by increased volume for our bearing product lines and a higher level of JPF direct commercial sales. Additionally, we began to record revenue and profit from the sale of the SH-2G(I) aircraft to New Zealand.
Acquisitions drove top line growth in Distribution, offset by a modest decline in organic sales as sluggish market conditions continue to impact select end markets. Distribution operating profit was 5.1% for the second quarter, demonstrating significant sequential improvement over the operating profit of 1.8% in the first quarter, due to the absence of $3.0 million of expense related to our first quarter restructuring, $2.0 million in cost savings resulting from that restructuring and operating leverage from higher sales. Operating margin declined year over year primarily as a result of the impact of lower organic sales volume. For the balance of 2013, we expect sequential sales and operating margin improvement at Distribution.
The sequential improvement we made during the first half provides us confidence that we will deliver a stronger second half. ”

Key Stats (on next page)…

Revenue increased 11.24% from $388.08 million in the previous quarter. EPS increased 157.69% from $0.26 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.67 to a profit $0.68. For the current year, the average estimate has moved down from a profit of $2.34 to a profit of $2.28 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)