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Spirit AeroSystems (SPR) Q2 Loss Widens, Revenues Rise Y/Y
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Spirit AeroSystems Holdings, Inc. (SPR - Free Report) reported a second-quarter 2024 adjusted loss of $2.73 per share, which came in much wider than the Zacks Consensus Estimate of a loss of 98 cents per share. The loss also widened from the year-ago quarter’s reported loss of $1.46 per share.
Barring one-time adjustments, Spirit AeroSystems recorded a GAAP loss of $3.56 per share compared with a loss of $1.96 in the prior-year period.
The year-over-year deterioration in the bottom line can be attributed to a higher operating loss incurred in the second quarter of 2024 compared to the second quarter of 2023.
Highlights of the Release
Total revenues of $1.49 billion surpassed the Zacks Consensus Estimate of $1.47 billion by 1.7%. Moreover, the top line also rose 9.3% on a year-over-year basis, driven by higher production activities of the company’s commercial programs. Higher Defense and Space revenues also contributed to SPR’s total revenue growth.
Spirit Aerosystems Holdings, Inc. Price, Consensus and EPS Surprise
Spirit AeroSystems’ backlog at the end of the second quarter totaled $48 billion, down from the prior quarter’s figure of $49 billion.
Segmental Performance
Commercial Segment: Revenues in the segment increased 7.7% year over year to $1.17 billion. The upside was driven by higher production across most of its programs.
The segment’s operating loss was $270.5 million compared with the operating loss of $72.9 million in the year-ago period. The deterioration can be attributed to higher changes in estimates.
Defense & Space: The segment recorded revenues of $224.4 million, up 18.4% year over year, driven by increased activity in the Sikorsky CH-53K program.
The unit’s operating income increased 55.8% to $18.7 million from $12 million in the prior-year quarter, driven by higher activities in the Sikorsky CH-53K program.
Aftermarket: This segment’s top line improved 9.8% year over year to $101.1 million, driven by higher spare part sales.
The segment’s operating profit decreased 28% year over year to $17.5 million due to the sales mix.
Operational Highlights
Total operating costs and expenses rose 22.8% year over year to $1.82 billion due to the higher cost of sales, selling, general and administrative expenses, and higher research and development expenses.
SPR’s operating loss in the second quarter of 2024 totaled $331.3 million compared with the operating loss of $120.4 million in the prior-year quarter. This deterioration was mainly due to unfavorable changes in estimates.
Financial Position
As of Jun 27, 2024, Spirit AeroSystems had $206 million in cash and cash equivalents compared with $823.5 million as of Dec 31, 2023.
The long-term debt as of Jun 27, 2024 totaled $3.98 billion compared with $4.02 billion as of Dec 31, 2023.
Cash outflow from operating activities amounted to $981.1 million during the first six months of 2024 compared with cash outflow of $229 million recorded a year ago.
Zacks Rank
Spirit AeroSystems currently carries a Zacks Rank #4 (Sell).
Teledyne Technologies Inc. (TDY - Free Report) reported second-quarter 2024 adjusted earnings of $4.58 per share, which surpassed the Zacks Consensus Estimate of $4.49 by 2%. However, the bottom line declined 1.9% from $4.67 recorded in the year-ago quarter.
Total sales were $1.37 billion, which missed the Zacks Consensus Estimate of $1.38 billion by 0.2%. The top line also dropped 3.6% from $1.42 billion reported in the year-ago quarter.
Lockheed Martin Corporation (LMT - Free Report) reported second-quarter 2024 adjusted earnings of $7.11 per share, which beat the Zacks Consensus Estimate of $6.45 by 10.2%. The bottom line also improved 5.6% from the year-ago quarter's recorded figure of $6.73.
Net sales were $18.12 billion, which surpassed the Zacks Consensus Estimate of $17.10 billion by 6%. The top line also increased 8.6% from $16.69 billion reported in the year-ago quarter.
Textron Inc. (TXT - Free Report) reported second-quarter 2024 adjusted earnings of $1.54 per share, which surpassed the Zacks Consensus Estimate of $1.49 by 3.4%. The bottom line also improved 5.5% from the year-ago quarter’s figure of $1.46 per share.
TXT reported total revenues of $3.53 billion, which missed the Zacks Consensus Estimate of $3.55 billion by 0.6%. However, the reported figure increased 3% from the year-ago quarter’s level of $3.42 billion.
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Spirit AeroSystems (SPR) Q2 Loss Widens, Revenues Rise Y/Y
Spirit AeroSystems Holdings, Inc. (SPR - Free Report) reported a second-quarter 2024 adjusted loss of $2.73 per share, which came in much wider than the Zacks Consensus Estimate of a loss of 98 cents per share. The loss also widened from the year-ago quarter’s reported loss of $1.46 per share.
Barring one-time adjustments, Spirit AeroSystems recorded a GAAP loss of $3.56 per share compared with a loss of $1.96 in the prior-year period.
The year-over-year deterioration in the bottom line can be attributed to a higher operating loss incurred in the second quarter of 2024 compared to the second quarter of 2023.
Highlights of the Release
Total revenues of $1.49 billion surpassed the Zacks Consensus Estimate of $1.47 billion by 1.7%. Moreover, the top line also rose 9.3% on a year-over-year basis, driven by higher production activities of the company’s commercial programs. Higher Defense and Space revenues also contributed to SPR’s total revenue growth.
Spirit Aerosystems Holdings, Inc. Price, Consensus and EPS Surprise
Spirit Aerosystems Holdings, Inc. price-consensus-eps-surprise-chart | Spirit Aerosystems Holdings, Inc. Quote
Spirit AeroSystems’ backlog at the end of the second quarter totaled $48 billion, down from the prior quarter’s figure of $49 billion.
Segmental Performance
Commercial Segment: Revenues in the segment increased 7.7% year over year to $1.17 billion. The upside was driven by higher production across most of its programs.
The segment’s operating loss was $270.5 million compared with the operating loss of $72.9 million in the year-ago period. The deterioration can be attributed to higher changes in estimates.
Defense & Space: The segment recorded revenues of $224.4 million, up 18.4% year over year, driven by increased activity in the Sikorsky CH-53K program.
The unit’s operating income increased 55.8% to $18.7 million from $12 million in the prior-year quarter, driven by higher activities in the Sikorsky CH-53K program.
Aftermarket: This segment’s top line improved 9.8% year over year to $101.1 million, driven by higher spare part sales.
The segment’s operating profit decreased 28% year over year to $17.5 million due to the sales mix.
Operational Highlights
Total operating costs and expenses rose 22.8% year over year to $1.82 billion due to the higher cost of sales, selling, general and administrative expenses, and higher research and development expenses.
SPR’s operating loss in the second quarter of 2024 totaled $331.3 million compared with the operating loss of $120.4 million in the prior-year quarter. This deterioration was mainly due to unfavorable changes in estimates.
Financial Position
As of Jun 27, 2024, Spirit AeroSystems had $206 million in cash and cash equivalents compared with $823.5 million as of Dec 31, 2023.
The long-term debt as of Jun 27, 2024 totaled $3.98 billion compared with $4.02 billion as of Dec 31, 2023.
Cash outflow from operating activities amounted to $981.1 million during the first six months of 2024 compared with cash outflow of $229 million recorded a year ago.
Zacks Rank
Spirit AeroSystems currently carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Recent Defense Releases
Teledyne Technologies Inc. (TDY - Free Report) reported second-quarter 2024 adjusted earnings of $4.58 per share, which surpassed the Zacks Consensus Estimate of $4.49 by 2%. However, the bottom line declined 1.9% from $4.67 recorded in the year-ago quarter.
Total sales were $1.37 billion, which missed the Zacks Consensus Estimate of $1.38 billion by 0.2%. The top line also dropped 3.6% from $1.42 billion reported in the year-ago quarter.
Lockheed Martin Corporation (LMT - Free Report) reported second-quarter 2024 adjusted earnings of $7.11 per share, which beat the Zacks Consensus Estimate of $6.45 by 10.2%. The bottom line also improved 5.6% from the year-ago quarter's recorded figure of $6.73.
Net sales were $18.12 billion, which surpassed the Zacks Consensus Estimate of $17.10 billion by 6%. The top line also increased 8.6% from $16.69 billion reported in the year-ago quarter.
Textron Inc. (TXT - Free Report) reported second-quarter 2024 adjusted earnings of $1.54 per share, which surpassed the Zacks Consensus Estimate of $1.49 by 3.4%. The bottom line also improved 5.5% from the year-ago quarter’s figure of $1.46 per share.
TXT reported total revenues of $3.53 billion, which missed the Zacks Consensus Estimate of $3.55 billion by 0.6%. However, the reported figure increased 3% from the year-ago quarter’s level of $3.42 billion.