Triumph Group Q1 2021 Earnings Report
Key Takeaways
Triumph Group reported a decrease in organic revenue by 29% due to declines in Aerospace Structures and the COVID-19 pandemic. The company is executing its plan to exit legacy programs in Aerospace Structures with the sales of its G650 wing kitting and Composite structures factories. Total cash usage for the first quarter was largely associated with working capital expansion.
Net sales of $495.1 million.
Operating loss of $252.4 million with operating margin of (51.0%) and included an impairment charge of $252.4 million; adjusted operating income of $15.4 million with adjusted operating margin of 3.1%.
Net loss of $277.3 million, or ($5.35) per share; adjusted net loss of $9.5 million, or ($0.19) per share.
Cash flow used in operations of ($197.5) million, and free cash use of ($205.2) million
Triumph Group
Triumph Group
Forward Guidance
The Company expects that net sales for fiscal year 2021 will be approximately $1.8 to $1.9 billion. The Company anticipates that the trends in cash used in operations that were experienced in the first quarter of fiscal 2021 to continue, but to a lesser degree in the second quarter, and expects it to recover somewhat in the second half of the fiscal year. Therefore, the Company expects cash used in operations and free cash use to be moderately higher for the full fiscal year.