TFS Revenue Grows in Q2

Jason Sandefur

Textron Fastening Systems reported sales rose 5.6% to $521 million during the second quarter of 2005, driven by higher pricing and favorable foreign exchange. Q2 profit dropped 54% to $11 million, “primarily due to lower volumes, new plant ramp-up costs, and general inflation.” While automotive market demand remained soft, TFS said improved pricing compensated for higher steel costs.
During the first six months of 2005, TFS sales grew 5.1% to $1.04 billion, while profit dipped to $5 million compared with a $44 million profit during the first six months of 2004.
Parent company Textron Inc. announced Q2 sales climbed 26% to $3.2 billion, and segment profit soared 37% to $317 million. “Overall, we achieved another solid quarter with particularly strong results in our aircraft, defense and finance businesses,” stated CEO Lewis Campbell.
Overall first-half revenue grew 23% to $5.98 billion, while segment profit gained 13.8% to $561 million. Web: textron.com �2005 FastenerNews.com