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Jun 30, 2023

Barnes Group Q2 2023 Earnings Report

Barnes Group reported topline growth and improved adjusted operating profit & margin.

Key Takeaways

Barnes Group Inc. reported a 6% increase in net sales to $339 million for the second quarter of 2023, with organic sales up 5%. The company's operating margin was 7.7%, and adjusted operating margin was 12.8%, up 30 bps from the previous year. GAAP EPS was $0.34, while adjusted EPS was $0.58, a 4% increase year-over-year. The company forecasts 2023 organic sales growth of +7% to +9% and maintains its adjusted EPS forecast of $2.15 to $2.30.

Sales of $339 million, up 6% versus prior year period; Organic Sales up 5%

Operating Margin of 7.7%; Adjusted Operating Margin of 12.8%, up 30 bps from a year ago

GAAP EPS of $0.34; Adjusted EPS of $0.58, up 4% versus prior year period

Forecasts 2023 Organic Sales Growth of +7% to +9%

Total Revenue
$339M
Previous year: $321M
+5.5%
EPS
$0.58
Previous year: $0.56
+3.6%
Gross Profit
$114M
Previous year: $109M
+5.4%
Cash and Equivalents
$74.7M
Previous year: $72.3M
+3.3%
Free Cash Flow
-$419K
Previous year: $11.7M
-103.6%
Total Assets
$2.44B
Previous year: $2.4B
+1.6%

Barnes Group

Barnes Group

Barnes Group Revenue by Segment

Forward Guidance

Barnes forecasts organic sales growth of 7% to 9% for 2023 with adjusted operating margin in the range of 12.5% to 13.5%. Adjusted earnings are expected to be in the range of $2.15 to $2.30 per share, up 9% to 16% from 2022’s adjusted earnings of $1.98 per share, consistent with our previous outlook.

Revenue & Expenses

Visualization of income flow from segment revenue to net income