Latest news with #Kennametal
Yahoo
2 days ago
- Business
- Yahoo
Kennametal Announces Sale of Subsidiary in Goshen, IN
PITTSBURGH, June 6, 2025 /PRNewswire/ -- Kennametal Inc. (NYSE: KMT) today announced that it has completed the sale of its business in Goshen, IN. "This portfolio action is an important step toward improving our overall sales mix, reducing material cost volatility and focusing our resources on long-term strategic priorities that create greater value for all our stakeholders," said Kennametal President & CEO Sanjay Chowbey. Kennametal received $19 million from the transaction upon closing, resulting in an immaterial pre-tax loss. The proceeds are subject to customary post-closing adjustments as well as an EBITDA-based earn-out opportunity for Kennametal at the end of a three-year period. The Company expects to use the proceeds for general corporate purposes. The Goshen subsidiary was sold to a Chicago-based private equity firm. The Goshen subsidiary, known as Kennametal Stellite, L.P., serves the surface coating and welding products markets in Kennametal's Infrastructure segment and represents less than 2% of Kennametal's total sales and is immaterial to Kennametal's profitability. About KennametalWith over 85 years as an industrial technology leader, Kennametal Inc. delivers productivity to customers through materials science, tooling and wear-resistant solutions. Customers across aerospace and defense, earthworks, energy, general engineering and transportation turn to Kennametal to help them manufacture with precision and efficiency. Every day approximately 8,400 employees are helping customers in nearly 100 countries stay competitive. Kennametal generated $2 billion in revenues in fiscal 2024. Learn more at Follow @Kennametal: Instagram, Facebook, LinkedIn and YouTube. Certain statements in this release may be forward-looking in nature, or "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are statements that do not relate strictly to historical or current facts. For example, statements in this press release about Kennametal's expectations regarding future growth and financial performance are forward-looking statements. Any forward-looking statements are based on current knowledge, expectations and estimates that involve inherent risks and uncertainties. Should one or more of these risks or uncertainties materialize, or should the assumptions underlying the forward-looking statements prove incorrect, our actual results could vary materially from our current expectations. There are a number of factors that could cause our actual results to differ from those indicated in the forward-looking statements. They include: uncertainties related to changes in macroeconomic and/or global conditions, including as a result of increased inflation, tariffs, and Russia's invasion of Ukraine and the resulting sanctions on Russia; the conflict in the Middle East; other economic recession; our ability to achieve all anticipated benefits of restructuring, simplification and modernization initiatives; Commercial Excellence growth initiatives, Operational Excellence initiatives, our foreign operations and international markets, such as currency exchange rates, different regulatory environments, trade barriers, exchange controls, and social and political instability, including the conflicts in Ukraine and the Middle East; changes in the regulatory environment in which we operate, including environmental, health and safety regulations; potential for future goodwill and other intangible asset impairment charges; our ability to protect and defend our intellectual property; continuity of information technology infrastructure; competition; our ability to retain our management and employees; demands on management resources; availability and cost of the raw materials we use to manufacture our products; product liability claims; integrating acquisitions and achieving the expected savings and synergies; global or regional catastrophic events; demand for and market acceptance of our products; business divestitures; energy costs; commodity prices; labor relations; and implementation of environmental remediation matters. Many of these risks and other risks are more fully described in Kennametal's latest annual report on Form 10-K and its other periodic filings with the Securities and Exchange Commission. We can give no assurance that any goal or plan set forth in forward-looking statements can be achieved and readers are cautioned not to place undue reliance on such statements, which speak only as of the date made. We undertake no obligation to release publicly any revisions to forward-looking statements as a result of future events or developments. View original content to download multimedia: SOURCE Kennametal Inc.
Yahoo
3 days ago
- Business
- Yahoo
Here's Why Hold Strategy is Apt for Kennametal Stock Right Now
Kennametal Inc. KMT is witnessing several positive trends that hold promise for its long-term growth. This includes an increase in U.S. and international defense spending volumes and digitalization. Also, improved supply chain and increasing original equipment manufacturer build rates in the aerospace market bode well. For fiscal 2025, the company expects revenues from the aerospace & defense markets to increase on a year-over-year company remains focused on strategic partnerships and investing in manufacturing facilities to boost growth. For instance, in May 2025, KMT invested in Toolpath Labs, an emerging leader in AI-powered computer-aided manufacturing (CAM) software. The collaboration will enable Kennametal to expand its suite of digital capabilities and offerings for its manufacturing customers also remains committed to rewarding its shareholders through dividend payments and share buybacks. In the first nine months of fiscal 2025, it distributed dividends worth $46.6 million to its shareholders and bought back shares for $55.1 million. Also. in fiscal 2024, Kennametal distributed dividends worth $63.4 million and repurchased shares worth $65.4 million. In February 2024, KMT's board of directors authorized a repurchase program worth $200 million, which is valid for three years. Since the inception of the program, the company has repurchased 55 million shares. Image Source: Zacks Investment Research In the past month, this Zacks Rank #3 (Hold) company's shares have gained 9.3% compared with the industry's 10.5% the positives, decrease in demand across the transportation end market, owing to lower volumes and project activity, is affecting the Metal Cutting segment's organic revenues (which decreased 4% year over year in the third quarter of fiscal 2025). Also, weakness in the general engineering end market due to lower industrial production, along with lower U.S. land rig count in the energy end market, is ailing the lackluster performance of the Infrastructure segment owing to weakness in the general engineering end market is another concern. There has been a particular softness in the earth works end market due to lower mining activity in the Americas and Asia Pacific regions. The segment's organic revenues declined 2% year over year in the fiscal third quarter. Some better-ranked stocks from the same space are discussed Signal Corporation FSS currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks delivered a trailing four-quarter average earnings surprise of 6.4%. In the past 60 days, the Zacks Consensus Estimate for Federal Signal's 2025 earnings has increased 1.6%.Broadwind, Inc. BWEN presently carries a Zacks Rank of 2. The company delivered a trailing four-quarter average earnings surprise of 61.1%.In the past 60 days, the consensus estimate for BWEN's 2025 earnings has increased 14.3%.The Gorman-Rupp Company GRC presently carries a Zacks Rank of 2. It has a trailing four-quarter average earnings surprise of 2.4%.The Zacks Consensus Estimate for GRC's 2025 earnings has increased by a penny in the past 60 days. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Kennametal Inc. (KMT) : Free Stock Analysis Report Gorman-Rupp Company (The) (GRC) : Free Stock Analysis Report Federal Signal Corporation (FSS) : Free Stock Analysis Report Broadwind Energy, Inc. (BWEN) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
27-05-2025
- Business
- Yahoo
Nordson (NDSN) To Report Earnings Tomorrow: Here Is What To Expect
Manufacturing company Nordson (NASDAQ:NDSN) will be announcing earnings results tomorrow after market hours. Here's what investors should know. Nordson missed analysts' revenue expectations by 3.5% last quarter, reporting revenues of $615.4 million, down 2.8% year on year. It was a softer quarter for the company, with a significant miss of analysts' organic revenue estimates and a miss of analysts' EBITDA estimates. Is Nordson a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Nordson's revenue to grow 3.9% year on year to $675.7 million, improving from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $2.36 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Nordson has missed Wall Street's revenue estimates four times over the last two years. Looking at Nordson's peers in the professional tools and equipment segment, some have already reported their Q1 results, giving us a hint as to what we can expect. ESAB's revenues decreased 1.7% year on year, beating analysts' expectations by 2.2%, and Kennametal reported a revenue decline of 5.7%, in line with consensus estimates. ESAB traded up 3.1% following the results while Kennametal was also up 4.7%. Read our full analysis of ESAB's results here and Kennametal's results here. There has been positive sentiment among investors in the professional tools and equipment segment, with share prices up 7.9% on average over the last month. Nordson is up 1.9% during the same time and is heading into earnings with an average analyst price target of $243.29 (compared to the current share price of $192.26). Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25-05-2025
- Business
- Yahoo
Returns On Capital At Kennametal (NYSE:KMT) Have Stalled
If you're looking for a multi-bagger, there's a few things to keep an eye out for. Amongst other things, we'll want to see two things; firstly, a growing return on capital employed (ROCE) and secondly, an expansion in the company's amount of capital employed. This shows us that it's a compounding machine, able to continually reinvest its earnings back into the business and generate higher returns. Although, when we looked at Kennametal (NYSE:KMT), it didn't seem to tick all of these boxes. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business. The formula for this calculation on Kennametal is: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.089 = US$184m ÷ (US$2.5b - US$416m) (Based on the trailing twelve months to March 2025). So, Kennametal has an ROCE of 8.9%. Ultimately, that's a low return and it under-performs the Machinery industry average of 11%. See our latest analysis for Kennametal Above you can see how the current ROCE for Kennametal compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like to see what analysts are forecasting going forward, you should check out our free analyst report for Kennametal . Things have been pretty stable at Kennametal, with its capital employed and returns on that capital staying somewhat the same for the last five years. Businesses with these traits tend to be mature and steady operations because they're past the growth phase. So unless we see a substantial change at Kennametal in terms of ROCE and additional investments being made, we wouldn't hold our breath on it being a multi-bagger. With fewer investment opportunities, it makes sense that Kennametal has been paying out a decent 44% of its earnings to shareholders. Given the business isn't reinvesting in itself, it makes sense to distribute a portion of earnings among shareholders. In summary, Kennametal isn't compounding its earnings but is generating stable returns on the same amount of capital employed. Since the stock has declined 12% over the last five years, investors may not be too optimistic on this trend improving either. Therefore based on the analysis done in this article, we don't think Kennametal has the makings of a multi-bagger. One more thing, we've spotted 1 warning sign facing Kennametal that you might find interesting. For those who like to invest in solid companies, check out this free list of companies with solid balance sheets and high returns on equity. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Associated Press
08-05-2025
- Business
- Associated Press
Kennametal to Attend KeyBanc Capital Markets Industrials & Basic Materials Conference
PITTSBURGH, May 8, 2025 /PRNewswire/ -- Kennametal Inc. (NYSE: KMT) announced today that they will attend the KeyBanc Capital Markets Industrials & Basic Materials Conference in Boston, MA. Details of the conference are as follows: About Kennametal With over 85 years as an industrial technology leader, Kennametal Inc. delivers productivity to customers through materials science, tooling and wear-resistant solutions. Customers across aerospace and defense, earthworks, energy, general engineering and transportation turn to Kennametal to help them manufacture with precision and efficiency. Every day approximately 8,400 employees are helping customers in nearly 100 countries stay competitive. Kennametal generated $2 billion in revenues in fiscal 2024. Learn more at Follow @Kennametal: Instagram, Facebook, LinkedIn and YouTube. View original content: SOURCE Kennametal Inc.
