Aerojet Rocketdyne Holdings, Inc. reported first-quarter 2020 earnings per share (EPS) of 37 cents, which missed the Zacks Consensus Estimate of 46 cents by 19.6%. The bottom line also declined 21.3% year over year from 47 cents reported in the year-ago quarter.
Operational Performance
The company’s first-quarter revenues of $476.1 million declined 3.2% from the year-ago quarter’s $491.7 million. Moreover, the top line lagged the Zacks Consensus Estimate of $517 million by 7.9%. The decrease in net sales was primarily led by a decline in space program sales.
Aerojet Rocketdyne’s backlog at the end of first-quarter 2020 totaled $5.2 billion, lower than $5.4 billion at the end of 2019. Of this, funded backlog amounted to $3.3 billion compared with $2.1 billion at 2019-end.
Total operating expenses decreased 2.2% to $419 million in the first quarter. Meanwhile, operating income of $57.1 million declined 9.8% from $63.3 million a year ago.
Segmental Performance
Aerospace & Defense: Revenues at this segment declined 3.2% year over year to $474.4 million from the previous year’s $490 million.
Real Estate: The segment generated revenues of $1.7 million, which remained in line with the year-ago quarter’s figure.
Aerojet Rocketdyne Holdings, Inc. Price, Consensus and EPS Surprise
Financial Update
Aerojet Rocketdyne exited the first quarter with cash and cash equivalents of $902.6 million, down from $932.6 million as of Dec 31, 2019.
Long-term debt amounted to $345.3 million, down from $352.3 million as of Dec 31, 2019.
Operating cash outflow from continuing operations summed $17.1 million as of Mar 31, 2020, compared with cash outflow of $95.4 million in the year-ago period.
Free cash outflow at the end of the reported quarter was $20.1 million compared with $19.2 million a year ago.
Zacks Rank
Aerojet Rocketdyne currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Lockheed Martin Corp. (LMT - Free Report) reported first-quarter 2020 earnings of $6.08 per share, which surpassed the Zacks Consensus Estimate of $5.76 by 5.5%. The bottom line also improved 1.5% from the year-ago quarter’s $5.99.
Teledyne Technologies Inc. (TDY - Free Report) reported first-quarter 2020 earnings of $2.28 per share, which surpassed the Zacks Consensus Estimate of $2.10 by 8.6%. The bottom line also improved 12.9% from the year-ago quarter’s $2.02.
An Upcoming Release
Huntington Ingalls Industries (HII - Free Report) , a Zacks Rank #3 company, is scheduled to report first-quarter 2020 results on May 7.
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Aerojet Rocketdyne Holdings, Inc. reported first-quarter 2020 earnings per share (EPS) of 37 cents, which missed the Zacks Consensus Estimate of 46 cents by 19.6%. The bottom line also declined 21.3% year over year from 47 cents reported in the year-ago quarter.
Operational Performance
The company’s first-quarter revenues of $476.1 million declined 3.2% from the year-ago quarter’s $491.7 million. Moreover, the top line lagged the Zacks Consensus Estimate of $517 million by 7.9%. The decrease in net sales was primarily led by a decline in space program sales.
Aerojet Rocketdyne’s backlog at the end of first-quarter 2020 totaled $5.2 billion, lower than $5.4 billion at the end of 2019. Of this, funded backlog amounted to $3.3 billion compared with $2.1 billion at 2019-end.
Total operating expenses decreased 2.2% to $419 million in the first quarter. Meanwhile, operating income of $57.1 million declined 9.8% from $63.3 million a year ago.
Segmental Performance
Aerospace & Defense: Revenues at this segment declined 3.2% year over year to $474.4 million from the previous year’s $490 million.
Real Estate: The segment generated revenues of $1.7 million, which remained in line with the year-ago quarter’s figure.
Aerojet Rocketdyne Holdings, Inc. Price, Consensus and EPS Surprise
Financial Update
Aerojet Rocketdyne exited the first quarter with cash and cash equivalents of $902.6 million, down from $932.6 million as of Dec 31, 2019.
Long-term debt amounted to $345.3 million, down from $352.3 million as of Dec 31, 2019.
Operating cash outflow from continuing operations summed $17.1 million as of Mar 31, 2020, compared with cash outflow of $95.4 million in the year-ago period.
Free cash outflow at the end of the reported quarter was $20.1 million compared with $19.2 million a year ago.
Zacks Rank
Aerojet Rocketdyne currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Lockheed Martin Corp. (LMT - Free Report) reported first-quarter 2020 earnings of $6.08 per share, which surpassed the Zacks Consensus Estimate of $5.76 by 5.5%. The bottom line also improved 1.5% from the year-ago quarter’s $5.99.
Teledyne Technologies Inc. (TDY - Free Report) reported first-quarter 2020 earnings of $2.28 per share, which surpassed the Zacks Consensus Estimate of $2.10 by 8.6%. The bottom line also improved 12.9% from the year-ago quarter’s $2.02.
An Upcoming Release
Huntington Ingalls Industries (HII - Free Report) , a Zacks Rank #3 company, is scheduled to report first-quarter 2020 results on May 7.
Zacks Top 10 Stocks for 2020
In addition to the stocks discussed above, would you like to know about our 10 finest buy-and-hold tickers for the entirety of 2020?
Last year's 2019 Zacks Top 10 Stocks portfolio returned gains as high as +102.7%. Now a brand-new portfolio has been handpicked from over 4,000 companies covered by the Zacks Rank. Don’t miss your chance to get in on these long-term buys.
Access Zacks Top 10 Stocks for 2020 today >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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