Crane Co. (NYSE: CR), a diversified manufacturer of highly engineered industrial products, reported third quarter 2013 earnings of $0.97 per diluted share, compared to $0.99 in the third quarter of 2012. Third quarter 2013 results included transaction-related costs of $4.1 million, or $0.07 per share, related to the pending acquisition of MEI Conlux Holdings. Third quarter 2012 results included a $0.02 per share gain associated with divestitures, offset by $0.02 per share of repositioning charges. Excluding Special Items in both years, third quarter 2013 earnings per diluted share increased 5% to $1.04, compared to $0.99 in the third quarter of 2012. (Please see the attached Non-GAAP Financial Measures table.)
Third quarter 2013 sales of $637.5 million decreased $8.5 million, or 1.3%, compared to $646.0 million in the third quarter of 2012, resulting from a core sales decline of $6.2 million, or 1.0%, and unfavorable foreign exchange of $2.3 million, or 0.3%.
Operating profit in the third quarter increased 2.8% to $89.0 million, compared to $86.6 million in the third quarter of 2012. Excluding Special Items, third quarter operating profit increased 4.5% to $91.9 million, compared to $87.9 million in the third quarter of 2012, and operating profit margin increased to 14.4%, compared to 13.6% in the third quarter of 2012. (Please see the attached Non-GAAP Financial Measures table.)
“In spite of a difficult revenue growth environment, we are pleased to report third quarter EPS of $1.04 per share, excluding the MEI transaction costs,” said Crane Co. chief executive officer, Eric C. Fast. “On a 1% decline in revenues, total Company operating margins grew to 14.4%, with solid performance in our Fluid Handling, Payment Solutions and Engineered Materials businesses. In connection with the pending acquisition of MEI, we are actively engaged in satisfying the remedies required by the European Commission and expect to close the acquisition late in the fourth quarter.”