Hexcel Corporation reported third-quarter 2024 net sales of $456.5 million, an 8.8% increase compared to the third quarter of 2023. Adjusted diluted earnings per share (EPS) reached $0.47, marking a 23.7% increase year-over-year.
Commercial aerospace sales demonstrated robust growth, increasing by 17% year-over-year, contributing to a year-to-date commercial aerospace growth of 14%. Despite this, CEO Tom Gentile noted that supply chain challenges in the global aerospace industry continue to delay planned production rate increases at major customers.
Due to these ongoing challenges and new shortages, Hexcel now expects its full-year 2024 sales and adjusted EPS to be at the lower end of its previously issued guidance ranges. Furthermore, the company has withdrawn its mid-term guidance for the three-year period of 2024-2026, citing that the assumptions for future production rates are no longer valid.
The company's gross margin for the third quarter of 2024 improved to 23.3% from 21.8% in the prior year period. Hexcel also continued its share repurchase program, buying back an additional $50 million of common stock in the third quarter, bringing the year-to-date total to $252 million.
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