American firm Hexcel continues growth momentum in third quarter

October 19, 2021 - United States Of America

Hexcel Corporation, a US-based leader in advanced composites technology, has reported a 16.3 per cent sales growth to $333.8 million in the third quarter (Q3) of FY21 ended on September 30, 2021, compared to the same period of previous fiscal. Operating income for the three-month period rose to $22.8 million over the loss of $37.6 million in Q3 FY20.
“We are pleased to report another quarter demonstrating steady and continued growth in sales and earnings which we are confident will extend for many quarters to come. Sales of $334 million are another positive step-up sequentially and year over year with supply chain destocking now largely behind us,” Nick Stanage, chairman, CEO and president at Hexcel, said in a press release.
Commercial aerospace sales increased by 29.8 per cent to $167.2 million ($128.8 million) during Q3. While, with automotive and recreation markets improving, industrial sales went up 14.0 per cent to $56.2 million ($49.3 million).
Gross margin escalated to $66.0 million ($13.5 million), while selling, general and administrative expenses was $32.0 million ($24.6 million). However, net income during the third quarter slipped to $9.0 million ($9.7 million).
“We are closely monitoring our supply chain and have our global supply chain team focused on managing the continued availability of raw materials through these challenging times,” Stanage added. “As a team, we are excited about the aerospace recovery as we prepare for a significant step-up in demand in 2022 and continued growth ahead, supported by the secular adoption of composite lightweighting and Hexcel’s broad and expanding product portfolio, and deep customer relationships.”