We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Aerojet Rocketdyne's (AJRD) Q2 Earnings Beat, Revenues Up Y/Y
Read MoreHide Full Article
Aerojet Rocketdyne Holdings, Inc. reported second-quarter 2019 adjusted earnings of 50 cents per share, which surpassed the Zacks Consensus Estimate of 39 cents by 28.2%. Notably, the bottom line came in line with the figure registered in the year-ago quarter.
Barring one-time adjustments, the company reported GAAP earnings of 54 cents per share, reflecting a solid improvement of 20% from 45 cents recorded in the prior-year quarter. This upside can be attributed to increased sales and operating income in the quarter under review.
Operational Performance
Aerojet Rocketdyne’s second-quarter revenues of $485 million came in 3.8% higher than the year-ago quarter’s figure of $467.2 million. The top line also exceeded the Zacks Consensus Estimate of $474 million by 2.3%.
Total backlog at the end of second-quarter 2019 was $4.6 billion, significantly higher than $3.8 billion registered at the end of the first quarter. Of this, funded backlog amounted to $2.1 billion compared with $1.8 billion at 2018 end.
Total operating expenses increased 3.7% year over year to $413.9 million in the second quarter. Meanwhile, operating income of $71.1 million improved 4.6% from $68 million a year ago.
Aerojet Rocketdyne Holdings, Inc. Price, Consensus and EPS Surprise
Aerospace & Defense: Revenues at this segment improved 3.8% year over year at $483.1 million. This uptick can be attributed to an increase in defense programs’ net sales primarily driven by the Standard Missile program. However, a decrease in space programs’ net sales affected the segment’s top line.
Meanwhile, the segment’s margin expanded 250 basis points (bps) to 17%.
Real Estate: The segment generated revenues of $1.9 million compared with the year-ago quarter’s figure of $1.6 million.
Financial Update
Aerojet Rocketdyne exited the second quarter with cash and cash equivalents of $744.3 million, up from $735.3 million as of Dec 31, 2018. Long-term debt amounted to $363.7 million as of Jun 30, 2019, up from $352.3 million as of Dec 31, 2018.
Operating cash outflow from continuing operations summed $31.2 million as of Jun 30, 2019, compared with $24.5 million in the year-ago period. Free cash flow at the end of the first six months of 2019 was $24.3 million compared with $12.3 million a year ago.
Zacks Rank
Aerojet Rocketdyne has a Zacks Rank #4 (Sell).
Recent Defense Releases
Textron Inc. (TXT - Free Report) reported second-quarter 2019 earnings from continuing operations of 93 cents per share, which surpassed the Zacks Consensus Estimate of 85 cents by 9.4%. The company carries a Zacks Rank #3 (Hold).
Hexcel Corporation (HXL - Free Report) reported second-quarter 2019 earnings of 94 cents per share, which outpaced the Zacks Consensus Estimate of 88 cents by 6.8%. The company carries a Zacks Rank of 2.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
Image: Bigstock
Aerojet Rocketdyne's (AJRD) Q2 Earnings Beat, Revenues Up Y/Y
Aerojet Rocketdyne Holdings, Inc. reported second-quarter 2019 adjusted earnings of 50 cents per share, which surpassed the Zacks Consensus Estimate of 39 cents by 28.2%. Notably, the bottom line came in line with the figure registered in the year-ago quarter.
Barring one-time adjustments, the company reported GAAP earnings of 54 cents per share, reflecting a solid improvement of 20% from 45 cents recorded in the prior-year quarter. This upside can be attributed to increased sales and operating income in the quarter under review.
Operational Performance
Aerojet Rocketdyne’s second-quarter revenues of $485 million came in 3.8% higher than the year-ago quarter’s figure of $467.2 million. The top line also exceeded the Zacks Consensus Estimate of $474 million by 2.3%.
Total backlog at the end of second-quarter 2019 was $4.6 billion, significantly higher than $3.8 billion registered at the end of the first quarter. Of this, funded backlog amounted to $2.1 billion compared with $1.8 billion at 2018 end.
Total operating expenses increased 3.7% year over year to $413.9 million in the second quarter. Meanwhile, operating income of $71.1 million improved 4.6% from $68 million a year ago.
Aerojet Rocketdyne Holdings, Inc. Price, Consensus and EPS Surprise
Aerojet Rocketdyne Holdings, Inc. price-consensus-eps-surprise-chart | Aerojet Rocketdyne Holdings, Inc. Quote
Segmental Performance
Aerospace & Defense: Revenues at this segment improved 3.8% year over year at $483.1 million. This uptick can be attributed to an increase in defense programs’ net sales primarily driven by the Standard Missile program. However, a decrease in space programs’ net sales affected the segment’s top line.
Meanwhile, the segment’s margin expanded 250 basis points (bps) to 17%.
Real Estate: The segment generated revenues of $1.9 million compared with the year-ago quarter’s figure of $1.6 million.
Financial Update
Aerojet Rocketdyne exited the second quarter with cash and cash equivalents of $744.3 million, up from $735.3 million as of Dec 31, 2018.
Long-term debt amounted to $363.7 million as of Jun 30, 2019, up from $352.3 million as of Dec 31, 2018.
Operating cash outflow from continuing operations summed $31.2 million as of Jun 30, 2019, compared with $24.5 million in the year-ago period.
Free cash flow at the end of the first six months of 2019 was $24.3 million compared with $12.3 million a year ago.
Zacks Rank
Aerojet Rocketdyne has a Zacks Rank #4 (Sell).
Recent Defense Releases
Textron Inc. (TXT - Free Report) reported second-quarter 2019 earnings from continuing operations of 93 cents per share, which surpassed the Zacks Consensus Estimate of 85 cents by 9.4%. The company carries a Zacks Rank #3 (Hold).
Lockheed Martin Corp. (LMT - Free Report) reported second-quarter 2019 earnings of $5 per share, which exceeded the Zacks Consensus Estimate of $4.74 by 5.5%. It carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Hexcel Corporation (HXL - Free Report) reported second-quarter 2019 earnings of 94 cents per share, which outpaced the Zacks Consensus Estimate of 88 cents by 6.8%. The company carries a Zacks Rank of 2.
Looking for Stocks with Skyrocketing Upside?
Zacks has just released a Special Report on the booming investment opportunities of legal marijuana.
Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look.
See the pot trades we're targeting>>