Crane Q2 2023 Earnings Report
Key Takeaways
Crane Company reported impressive second-quarter results, marked by a 5% core sales growth and a 30% increase in adjusted operating profit. The company raised its adjusted EPS guidance for the full year to a range of $3.80-$4.10. Adjusted operating margins were at or above 20% in both strategic growth platforms.
Earnings from continuing operations per diluted share (EPS) of $0.75 and adjusted EPS of $1.10.
Core year-over-year sales growth of 5% and core year-over-year backlog growth of 15%.
Year-over-year growth in operating profit from continuing operations of 44%, and year-over-year growth in adjusted operating profit from continuing operations of 30%.
Adjusted EPS guidance raised to a range of $3.80-$4.10, from prior range of $3.60-$3.90.
Crane
Crane
Crane Revenue by Segment
Forward Guidance
Crane is raising its adjusted EPS guidance from continuing operations by $0.20 to a range of $3.80 to $4.10.
Positive Outlook
- Total sales growth of approximately 6%.
- Core sales growth of approximately 5% to 7%.
- Adjusted operating margin of approximately 15.0%.
- Corporate cost of approximately $70 million.
- Adjusted tax rate of approximately 23%.
Challenges Ahead
- Net non-operating expense of approximately $15 million.
- Diluted shares of approximately 57.3 million.
- Persistent supply chain challenges in aerospace and defense end markets.
- Slowing order activity in a handful of industrial and process flow markets and geographies.
- Balancing these factors with strong financial performance in the first half of the year.
Revenue & Expenses
Visualization of income flow from segment revenue to net income