Hexcel shares slip 3% as This fall income falls in need of expectations

STAMFORD, Conn. – Hexcel Company (NYSE:HXL) reported fourth quarter earnings that beat analyst estimates, however income fell in need of expectations, inflicting shares to drop 3.6% in after-hours buying and selling Wednesday.

The superior composites producer posted adjusted earnings per share of $0.52 for the fourth quarter, surpassing the analyst consensus of $0.50. Nonetheless, income got here in at $473.8 million, lacking the $481.2 million analysts had projected.

In comparison with the identical quarter final yr, Hexcel’s income grew by 6.5%. Regardless of the income miss, the corporate supplied an optimistic outlook for fiscal yr 2025.

Hexcel forecasts full-year 2025 earnings per share between $2.05 and $2.25, with the midpoint of $2.15 exceeding the analyst consensus of $2.01. The corporate additionally initiatives 2025 income within the vary of $1.95 billion to $2.05 billion, above the $1.91 billion analyst estimate.

For the complete yr 2024, Hexcel generated gross sales of $1.9 billion, up 6.4% YoY, and adjusted EPS of $2.03, a 12.2% enhance from 2023.

“Hexcel met its newest 2024 steering, together with $203 million of free money movement technology,” mentioned Tom Gentile, Chairman, CEO and President. “Our 2025 gross sales steering consists of roughly 10% YoY development in business aerospace, regardless of the continued rate-ramp challenges the business plane business provide chain is experiencing.”

Trying forward, the corporate supplied an upbeat outlook for 2025, forecasting income between $1.95 billion to $2.05 billion and adjusted EPS of $2.05 to $2.25. Each ranges got here in above present Wall Avenue estimates.

Hexcel additionally introduced a 13% enhance to its quarterly dividend, elevating it to $0.17 per share.

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