Delivers Third Quarter 2016 Diluted EPS, Excluding Special Items, of $0.35
October 27, 2016 08:00 ET | Source: TriMas Corporation
BLOOMFIELD HILLS, Mich., Oct. 27, 2016 (GLOBE NEWSWIRE) — TriMas (NASDAQ:TRS) today announced financial results for the quarter ended September 30, 2016. The Company reported third quarter net sales from continuing operations of $202.3 million, a decrease of 9.0% compared to third quarter 2015. The Company reported third quarter 2016 income from continuing operations of $8.8 million, or $0.19 per diluted share, as compared to income of $11.7 million, or $0.26 per diluted share, in the third quarter of 2015. Excluding Special Items(1) related to severance and business restructuring, third quarter 2016 diluted earnings per share from continuing operations would have been $0.35, as compared to $0.39 in third quarter 2015.TriMas Highlights
Delivered third quarter 2016 diluted earnings per share, excluding Special Items, of $0.35, despite lower sales levels.
Increased operating profit margin, excluding Special Items, by 50 basis points, as compared to third quarter 2015.
Achieved solid progress against a comprehensive recovery plan in the Aerospace segment which resulted in 530 basis points of sequential quarterly margin improvement, excluding Special Items.
Generated Free Cash Flow(2) of $11.2 million for third quarter 2016, resulting in year-to-date Free Cash Flow of approximately 90% of income from continuing operations, excluding Special Items.
Reduced total debt by 11% as compared to September 30, 2015.
Initiated facility rationalization and infrastructure cost savings actions during the quarter to further streamline operations and drive improved performance.
“We achieved third quarter diluted earnings per share of $0.35, excluding Special Items, despite softer sales levels primarily related to challenges in the oil and gas end markets,” said Thomas Amato, TriMas President and Chief Executive Officer. “I am pleased with the renewed focus and sense of urgency to drive future performance improvements, as evidenced by the additional footprint rationalization actions taken during the quarter.”Amato continued, “During my first three months at TriMas, we implemented more detailed analytics and increased the frequency of management reviews to drive improved operational execution and make TriMas and its businesses more nimble and responsive to changes in our end markets, which we believe will ultimately provide a competitive advantage. After spending time with our teams in the businesses, I am convinced there are many opportunities to further enhance operating performance by embracing a culture of continuous improvement and accelerating growth in high potential areas.”
“Regarding our 2016 outlook, we are tightening our full-year 2016 diluted EPS guidance range from $1.22 to $1.30, to $1.24 to $1.28 per share, excluding Special Items. While we continue to experience softer sales levels, we are taking actions to further streamline the businesses, enabling us to hold the midpoint of our previously provided EPS guidance range. We are currently working on our 2017 budget, as well as our longer-term strategic plan, in which we expect to achieve earnings expansion, despite anticipated continued oil and gas end market softness,” Amato continued.
Third Quarter Financial Results – From Continuing Operations
TriMas reported third quarter net sales of $202.3 million, a decrease of 9.0% as compared to $222.2 million in third quarter 2015. The positive sales impacts of a recent acquisition and organic initiatives were more than offset by sales declines resulting primarily from weakness in the oil and gas end markets and the impact of unfavorable currency exchange. (…)
