10/24/2013 1:26:00 AM
NEWS BRIEFS
Fastener Sales Increase at Precision Castparts
Precision Castparts Corp. reported Total Airframe Products’ sales, including fasteners, increased 25% to $693 million for the second quarter of fiscal 2014. Fiscal Q2 results included a full quarter of Synchronous, Klune, and Progressive, compared to a partial quarter of Klune and Progressive in the same period last year.
Despite absorbing multiple lower-margin acquisitions, the segment reported a 27% year-over-year gain in operating income, improving to $210 million, or 30.3% of sales, versus $166 million, or 30% of sales.
“Sales of critical aerospace fasteners, which improved slightly year over year, continue to lag the current commercial aircraft build rates, particularly on the Boeing 787 program, a situation that is expected to resolve moving into early fiscal 2015,” the company stated.
PCC said its Airframe Products segment is “successfully moving higher volumes over an improving cost structure and is rapidly integrating new acquisitions into the overall operations.”
Airframe Products anticipates the closure of the Permaswage acquisition in the third quarter of fiscal 2014.
“At this moment in time, the opportunities for this Company are better than ever,” stated CEO Mark Donegan. “Our position on current high-production commercial aircraft is solid. We have increased the quantity and value of components in the new development engines.”
Six-month Airframe Products revenue grew 32% to $1.38 billion, with segment profit up 33% to $415 million. ©2013 GlobalFastenerNews.com
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