said third-quarter earnings rose 53% from a year ago thanks to higher sales and margins.
The company posted net income of $93.7 million, or 69 cents a share, in the latest quarter, compared with $61.7 million, or 46 cents a share, a year ago. Excluding special charges, the Oregon-based metal component manufacturer earned 65 cents a share in the latest quarter. On that basis, analysts polled by Thomson First Call were estimating 62 cents a share.
Precision said sales rose 16.2% to $864.4 million, while operating income rose 26.3%, with a 130-basis-point improvement in margins. The Wall Street revenue estimate was $926.23 million, according to Thomson First Call. Though the automotive markets saw a slowdown, a strong aerospace market lifted the company's sales.
Three of Precision's business segments, investment cast products, fastener products and forged products, grew 13.86%, 35.45% and 13.98%, respectively, while sales of industrial products dropped 12.54%. The decline was due to the downturn in the automotive sector.
Mark Donegan, chairman and chief executive officer, said, "Our aerospace sales, with a growth rate of more than 20% year over year, are outpacing the market, and the power generation business has provided a firm underpinning to those sales, both giving an excellent base for continued operational success."
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