- Hexcel reported adjusted earnings per share (EPS) of 50 cents for the second quarter, which was higher than analysts’ estimates of 46 cents but lower compared to 60 cents from the previous year.
- The company achieved net sales of $489.9 million, a decrease of 2.1% year-over-year, but it beat the estimate of $475 million.
- Commercial Aerospace Sales reached $293.1 million, marking an 8.6% decline year-over-year, and came in below the estimate of $301.7 million.
- Space & Defense Sales rose significantly by 42% year-over-year, totaling $196.8 million, and exceeded the estimate of $145.5 million.
- Net income was reported at $13.5 million, showing a significant drop of 73% compared to the previous year, and was below the expected $39.5 million.
- Gross margin for the period was 22.8%, compared to 25.3% in the same period last year.
- Chairman, CEO, and President Tom Gentile highlighted alignment with expectations in sales and adjusted EPS, with noted growth in three major commercial aerospace programs except for the Airbus A350.
- Hexcel repurchased $50 million worth of stock during the second quarter, showing confidence in the company’s performance.
- The company completed the closure of its Welkenraedt, Belgium facility, incurring restructuring charges of $24.2 million.
- Investment recommendations from analysts include 5 buys, 13 holds, and 2 sells.
Hexcel Corp on Smartkarma
Analyst coverage of Hexcel Corp on Smartkarma reveals insights from Baptista Research. In a report titled “Hexcel Corporation: How Is The Management Dealing With Tariffs & The Challenges Around Aerospace Production Rate Variability?”, Baptista Research discusses Hexcel’s nuanced performance in the first quarter of 2025. With sales reaching $457 million and an adjusted diluted EPS of $0.37, Hexcel faces challenges due to supply chain issues and demand fluctuations, especially in the commercial aerospace sector.
Another report from Baptista Research, “Hexcel Corporation Unleashes Next-Gen Materials Innovation—The Aerospace Goldmine You Need to Watch!”, highlights Hexcel’s financial performance in the fourth quarter and full year of 2024. Despite challenges in the aerospace sector, Hexcel demonstrated strong operational performance, surpassing guidance with sales of $1.903 billion for the year, marking a 6.4% increase from the previous year. This performance is bolstered by Hexcel’s expertise in advanced composite materials essential for modern aircraft.
A look at Hexcel Corp Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smart Scores provided, Hexcel Corp seems to have a promising long-term outlook. With strong scores in growth and momentum, the company appears to be well-positioned for future success. The high growth score indicates potential for expansion and increasing market presence, while the momentum score suggests positive market sentiment and investor interest in the company’s performance. These factors bode well for Hexcel’s future prospects in the industry.
Furthermore, Hexcel Corp‘s resilience score indicates a stable and robust business model, capable of withstanding market challenges. Although the dividend score is moderate, the company’s focus on value and resilience, along with its global presence and diverse product offerings, positions Hexcel as a solid player in the development, manufacturing, and marketing of reinforcement products and composite materials across various industries.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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