•
Jun 30, 2024

Hexcel Q2 2024 Earnings Report

Hexcel reported a solid financial performance in the second quarter of 2024, driven by strong overall revenue growth and margin recovery.

Key Takeaways

Hexcel Corporation reported second quarter 2024 results with net sales of $500 million and adjusted diluted EPS of $0.60 per share. The company revised its full year 2024 guidance to reflect a more cautious stance due to aircraft delivery levels and customer production plans.

Q2 2024 GAAP diluted EPS was $0.60, compared to $0.50 in Q2 2023.

Q2 2024 adjusted diluted EPS was $0.60, compared to $0.50 in Q2 2023.

Q2 2024 sales were $500 million, a 10.1% increase over Q2 2023 sales of $454 million (10.5% increase in constant currency).

The company repurchased $100 million of Hexcel common stock during the second quarter, bringing the total 2024 share repurchases to $200 million.

Total Revenue
$500M
Previous year: $454M
+10.1%
EPS
$0.6
Previous year: $0.5
+20.0%
Gross Margin
25.3%
Gross Profit
$127M
Previous year: $111M
+14.3%
Cash and Equivalents
$75.4M
Previous year: $104M
-27.6%
Free Cash Flow
$21.3M
Previous year: -$44.7M
-147.7%
Total Assets
$2.83B
Previous year: $2.92B
-3.2%

Hexcel

Hexcel

Forward Guidance

Hexcel revised its full year 2024 guidance to sales of $1.90 billion to $1.98 billion, adjusted diluted earnings per share of $2.02 to $2.18, and free cash flow around $200 million.

Positive Outlook

  • Commercial Aerospace: Up low double-digits to mid-teens
  • Space & Defense: Up mid-single digits
  • Capital expenditures less than $100 million (unchanged)
  • Effective tax rate of 22.0%. (unchanged)

Challenges Ahead

  • Sales of $1.90 billion to $1.98 billion (previously $1.925 billion to $2.025 billion)
  • Adjusted diluted earnings per share of $2.02 to $2.18 (previously $2.10 - $2.30)
  • Free cash flow around $200 million (previously greater than $200 million)
  • Industrial: Down low double-digits (previously up low to mid-single digits)