Latest news with #PKE
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a day ago
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PKE Stock Rises 23% as Q1 Earnings Up Y/Y on Defense Demand Surge
Shares of Park Aerospace Corp. PKE have surged 23.3% since the company released its earnings report for the quarter ended June 1, 2025. This far outpaces the modest 0.5% gain in the S&P 500 index over the same period. Over the past month, PKE stock has rallied 41%, compared to a 4.8% rise in the S&P 500, signaling strong investor optimism surrounding the company's recent financial results and outlook. Park Aerospace reported earnings per share (EPS) of 10 cents in the fiscal first quarter of 2026, up from 5 cents in the prior-year quarter. Net sales of $15.4 million represented a 10.2% increase from $14 million in the year-ago period. Net earnings more than doubled to $2.1 million from $1 million in the same quarter last year. Gross profit rose 15% to $4.7 million, with gross margin improving slightly to 30.6% from 29.3%. Adjusted EBITDA also improved, reaching $3 million compared to $2.6 million a year ago, marking a 13.5% year-over-year increase. Park Aerospace Corp. Price, Consensus and EPS Surprise Park Aerospace Corp. price-consensus-eps-surprise-chart | Park Aerospace Corp. Quote Other Key Business Metrics Park's operating performance showed solid execution, as evidenced by an increase in earnings from operations to $2.4 million, up 16.2% from $2.1 million a year ago. SG&A expenses increased marginally to $2.3 million from $2 million. The balance sheet remained robust, with $65.6 million in cash and marketable securities as of June 1, 2025. The company's equity per share stood at $5.29, only slightly lower than $5.36 at the end of the previous quarter. Despite a sequential decline in inventories and total assets, Park Aerospace continued to maintain a strong liquidity position. Management Commentary During the earnings call, Chairman and CEO Brian Shore expressed satisfaction with the gross margin exceeding 30%, calling it 'nice to be over 30%' and attributing performance to consistent cost management and favorable sales mix. Shore emphasized transparency by breaking down margin estimates and cautioning investors not to overinterpret short-term variations. President and COO Mark Esquivel added color to the supply chain and production environment, indicating that while production volumes were relatively flat, key customers are expected to ramp up significantly later in the fiscal year. The team also addressed ongoing pressure from tariff-related costs and international shipments, citing a modest $0.3 million impact from missed shipments in the quarter. Factors Influencing Performance Key drivers behind the strong performance included increased sales of fabric-based composite materials, particularly to defense and aerospace customers. Management noted that $1.1 million of the $15.4 million in quarterly revenue came from fabric sales, while $0.5 million came from materials made with the fabric, both areas with stronger margins. On the downside, international logistics and tariff-related costs slightly weighed on the quarter, although they were not significant enough to impact broader earnings momentum. The decline in cash was attributed to discretionary expenditures including a $2.2 million share repurchase and a $1.5 million investment in Ariane to expand C2B fabric production capabilities. Guidance and Outlook Park Aerospace provided a forecast for the fiscal second quarter of 2026, anticipating net sales between $15 million and $16 million, and EBITDA between $3.1 million and $3.4 million. This implies sequential growth in both sales and profitability, driven by strong customer demand and production scheduling improvements. Furthermore, management reiterated its confidence in a solid full-year outlook, underpinned by a $40 million proposed blanket purchase order and expanding defense-related opportunities, particularly in missile systems and engine components. Other Developments During the quarter, Park Aerospace continued construction of a new facility in Newton, Kansas, part of a long-term strategic plan to increase manufacturing flexibility and capacity. The company indicated that it aims to have the expansion plan finalized by the end of the calendar year, with implementation starting shortly thereafter. Additionally, Park reported significant progress on a new long-term agreement (LTA) with GE Aerospace, spanning fiscal years 2025 through 2030, covering engine-related composite components. While management refrained from disclosing specific financial details, the LTA is expected to support long-term revenue stability and diversification. 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 Park Aerospace Corp. (PKE) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research 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
a day ago
- Business
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PKE Stock Rises 23% as Q1 Earnings Up Y/Y on Defense Demand Surge
Shares of Park Aerospace Corp. PKE have surged 23.3% since the company released its earnings report for the quarter ended June 1, 2025. This far outpaces the modest 0.5% gain in the S&P 500 index over the same period. Over the past month, PKE stock has rallied 41%, compared to a 4.8% rise in the S&P 500, signaling strong investor optimism surrounding the company's recent financial results and outlook. Park Aerospace reported earnings per share (EPS) of 10 cents in the fiscal first quarter of 2026, up from 5 cents in the prior-year quarter. Net sales of $15.4 million represented a 10.2% increase from $14 million in the year-ago period. Net earnings more than doubled to $2.1 million from $1 million in the same quarter last year. Gross profit rose 15% to $4.7 million, with gross margin improving slightly to 30.6% from 29.3%. Adjusted EBITDA also improved, reaching $3 million compared to $2.6 million a year ago, marking a 13.5% year-over-year increase. Park Aerospace Corp. Price, Consensus and EPS Surprise Park Aerospace Corp. price-consensus-eps-surprise-chart | Park Aerospace Corp. Quote Other Key Business Metrics Park's operating performance showed solid execution, as evidenced by an increase in earnings from operations to $2.4 million, up 16.2% from $2.1 million a year ago. SG&A expenses increased marginally to $2.3 million from $2 million. The balance sheet remained robust, with $65.6 million in cash and marketable securities as of June 1, 2025. The company's equity per share stood at $5.29, only slightly lower than $5.36 at the end of the previous quarter. Despite a sequential decline in inventories and total assets, Park Aerospace continued to maintain a strong liquidity position. Management Commentary During the earnings call, Chairman and CEO Brian Shore expressed satisfaction with the gross margin exceeding 30%, calling it 'nice to be over 30%' and attributing performance to consistent cost management and favorable sales mix. Shore emphasized transparency by breaking down margin estimates and cautioning investors not to overinterpret short-term variations. President and COO Mark Esquivel added color to the supply chain and production environment, indicating that while production volumes were relatively flat, key customers are expected to ramp up significantly later in the fiscal year. The team also addressed ongoing pressure from tariff-related costs and international shipments, citing a modest $0.3 million impact from missed shipments in the quarter. Factors Influencing Performance Key drivers behind the strong performance included increased sales of fabric-based composite materials, particularly to defense and aerospace customers. Management noted that $1.1 million of the $15.4 million in quarterly revenue came from fabric sales, while $0.5 million came from materials made with the fabric, both areas with stronger margins. On the downside, international logistics and tariff-related costs slightly weighed on the quarter, although they were not significant enough to impact broader earnings momentum. The decline in cash was attributed to discretionary expenditures including a $2.2 million share repurchase and a $1.5 million investment in Ariane to expand C2B fabric production capabilities. Guidance and Outlook Park Aerospace provided a forecast for the fiscal second quarter of 2026, anticipating net sales between $15 million and $16 million, and EBITDA between $3.1 million and $3.4 million. This implies sequential growth in both sales and profitability, driven by strong customer demand and production scheduling improvements. Furthermore, management reiterated its confidence in a solid full-year outlook, underpinned by a $40 million proposed blanket purchase order and expanding defense-related opportunities, particularly in missile systems and engine components. Other Developments During the quarter, Park Aerospace continued construction of a new facility in Newton, Kansas, part of a long-term strategic plan to increase manufacturing flexibility and capacity. The company indicated that it aims to have the expansion plan finalized by the end of the calendar year, with implementation starting shortly thereafter. Additionally, Park reported significant progress on a new long-term agreement (LTA) with GE Aerospace, spanning fiscal years 2025 through 2030, covering engine-related composite components. While management refrained from disclosing specific financial details, the LTA is expected to support long-term revenue stability and diversification. 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 Park Aerospace Corp. (PKE) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
6 days ago
- Business
- Yahoo
Park Aerospace Corp (PKE) Q1 2026 Earnings Call Highlights: Strong Financial Management Amid ...
Revenue: $15.4 million for Q1 fiscal 2026. Gross Profit: $4.718 million. Gross Margin: 30.6%. Adjusted EBITDA: Slightly less than $3 million. EBITDA Margin: 19.2%. GE Aerospace Jet Engine Program Sales: $6.2 million in Q1. Cash and Marketable Securities: $65.6 million at the end of Q1. Share Buyback: $2.165 million worth of stock purchased in Q1. Long-term Debt: Zero. Warning! GuruFocus has detected 8 Warning Signs with PKE. Release Date: July 15, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Park Aerospace Corp (NYSE:PKE) reported a gross margin of 30.6% for Q1, which is above their target threshold. The company achieved sales of $15.4 million, aligning with their forecasted range of $15 million to $16 million. Park Aerospace Corp (NYSE:PKE) is the sole-source qualified supplier for specialty ablative materials on the PAC-3 Patriot Missile System, indicating a strong market position. The company has zero long-term debt and maintains a strong cash position with $65.6 million in cash and marketable securities. Park Aerospace Corp (NYSE:PKE) has a history of disciplined financial management, including over $600 million in dividends paid and a strategic approach to share repurchases. The new manufacturing facility is underutilized, leading to significant ongoing expenses that drag down margins. The requalification process for a key customer in the C2B fabric segment is delayed, impacting potential revenue growth. Tariff-related costs, although minimal, continue to pose a potential risk to future financial performance. The company is facing challenges in meeting the urgent demand for missile defense systems due to depleted stockpiles. Park Aerospace Corp (NYSE:PKE) has not yet finalized its long-term expansion plans, which could delay the realization of potential growth opportunities. Q: On Slide 21, you referenced a new LTA with GE Aerospace for '25 through '30. Is there anything different in that LTA compared to previous ones?A: The LTA we've been discussing is with MRAS, not GE Aviation. The new LTA is more associated with GE Aerospace and involves different engine programs and materials. All GE Aerospace revenues are included in our sales history and Juggernaut projections. Q: At what point would you feel comfortable providing more details on your long-term forecast, especially when you mention terms like "blowing out the water"?A: We have internal models and are conducting due diligence. We hope to have our plans finalized by the end of the calendar year, and by our Q4 call in January, we might be in a position to provide more information. Q: With respect to your investment plans, how do you ensure you're making wise decisions?A: We've earned the trust of shareholders by being disciplined and not making impulsive decisions. We focus on what is right for the company rather than following trends. Q: Can we expect any unexpected investments, like in bitcoin mining?A: No, we are not planning to invest in bitcoin mining. We focus on disciplined and strategic investments. Q: How are tariffs impacting your business, and what is your outlook on this issue?A: Tariffs have had little impact on our business. We notified customers in advance that costs would be passed along, and we haven't seen significant tariffs from suppliers. We continue to monitor the situation but don't foresee any immediate issues. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. 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
7 days ago
- Business
- Yahoo
Park Aerospace Corp (PKE) Q1 2026 Earnings Call Highlights: Strong Financial Management Amid ...
Revenue: $15.4 million for Q1 fiscal 2026. Gross Profit: $4.718 million. Gross Margin: 30.6%. Adjusted EBITDA: Slightly less than $3 million. EBITDA Margin: 19.2%. GE Aerospace Jet Engine Program Sales: $6.2 million in Q1. Cash and Marketable Securities: $65.6 million at the end of Q1. Share Buyback: $2.165 million worth of stock purchased in Q1. Long-term Debt: Zero. Warning! GuruFocus has detected 8 Warning Signs with PKE. Release Date: July 15, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Park Aerospace Corp (NYSE:PKE) reported a gross margin of 30.6% for Q1, which is above their target threshold. The company achieved sales of $15.4 million, aligning with their forecasted range of $15 million to $16 million. Park Aerospace Corp (NYSE:PKE) is the sole-source qualified supplier for specialty ablative materials on the PAC-3 Patriot Missile System, indicating a strong market position. The company has zero long-term debt and maintains a strong cash position with $65.6 million in cash and marketable securities. Park Aerospace Corp (NYSE:PKE) has a history of disciplined financial management, including over $600 million in dividends paid and a strategic approach to share repurchases. The new manufacturing facility is underutilized, leading to significant ongoing expenses that drag down margins. The requalification process for a key customer in the C2B fabric segment is delayed, impacting potential revenue growth. Tariff-related costs, although minimal, continue to pose a potential risk to future financial performance. The company is facing challenges in meeting the urgent demand for missile defense systems due to depleted stockpiles. Park Aerospace Corp (NYSE:PKE) has not yet finalized its long-term expansion plans, which could delay the realization of potential growth opportunities. Q: On Slide 21, you referenced a new LTA with GE Aerospace for '25 through '30. Is there anything different in that LTA compared to previous ones?A: The LTA we've been discussing is with MRAS, not GE Aviation. The new LTA is more associated with GE Aerospace and involves different engine programs and materials. All GE Aerospace revenues are included in our sales history and Juggernaut projections. Q: At what point would you feel comfortable providing more details on your long-term forecast, especially when you mention terms like "blowing out the water"?A: We have internal models and are conducting due diligence. We hope to have our plans finalized by the end of the calendar year, and by our Q4 call in January, we might be in a position to provide more information. Q: With respect to your investment plans, how do you ensure you're making wise decisions?A: We've earned the trust of shareholders by being disciplined and not making impulsive decisions. We focus on what is right for the company rather than following trends. Q: Can we expect any unexpected investments, like in bitcoin mining?A: No, we are not planning to invest in bitcoin mining. We focus on disciplined and strategic investments. Q: How are tariffs impacting your business, and what is your outlook on this issue?A: Tariffs have had little impact on our business. We notified customers in advance that costs would be passed along, and we haven't seen significant tariffs from suppliers. We continue to monitor the situation but don't foresee any immediate issues. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
7 days ago
- Business
- Yahoo
Park Aerospace Corp (PKE) Q1 2026 Earnings Call Highlights: Strong Financial Management Amid ...
Revenue: $15.4 million for Q1 fiscal 2026. Gross Profit: $4.718 million. Gross Margin: 30.6%. Adjusted EBITDA: Slightly less than $3 million. EBITDA Margin: 19.2%. GE Aerospace Jet Engine Program Sales: $6.2 million in Q1. Cash and Marketable Securities: $65.6 million at the end of Q1. Share Buyback: $2.165 million worth of stock purchased in Q1. Long-term Debt: Zero. Warning! GuruFocus has detected 8 Warning Signs with PKE. Release Date: July 15, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Park Aerospace Corp (NYSE:PKE) reported a gross margin of 30.6% for Q1, which is above their target threshold. The company achieved sales of $15.4 million, aligning with their forecasted range of $15 million to $16 million. Park Aerospace Corp (NYSE:PKE) is the sole-source qualified supplier for specialty ablative materials on the PAC-3 Patriot Missile System, indicating a strong market position. The company has zero long-term debt and maintains a strong cash position with $65.6 million in cash and marketable securities. Park Aerospace Corp (NYSE:PKE) has a history of disciplined financial management, including over $600 million in dividends paid and a strategic approach to share repurchases. The new manufacturing facility is underutilized, leading to significant ongoing expenses that drag down margins. The requalification process for a key customer in the C2B fabric segment is delayed, impacting potential revenue growth. Tariff-related costs, although minimal, continue to pose a potential risk to future financial performance. The company is facing challenges in meeting the urgent demand for missile defense systems due to depleted stockpiles. Park Aerospace Corp (NYSE:PKE) has not yet finalized its long-term expansion plans, which could delay the realization of potential growth opportunities. Q: On Slide 21, you referenced a new LTA with GE Aerospace for '25 through '30. Is there anything different in that LTA compared to previous ones?A: The LTA we've been discussing is with MRAS, not GE Aviation. The new LTA is more associated with GE Aerospace and involves different engine programs and materials. All GE Aerospace revenues are included in our sales history and Juggernaut projections. Q: At what point would you feel comfortable providing more details on your long-term forecast, especially when you mention terms like "blowing out the water"?A: We have internal models and are conducting due diligence. We hope to have our plans finalized by the end of the calendar year, and by our Q4 call in January, we might be in a position to provide more information. Q: With respect to your investment plans, how do you ensure you're making wise decisions?A: We've earned the trust of shareholders by being disciplined and not making impulsive decisions. We focus on what is right for the company rather than following trends. Q: Can we expect any unexpected investments, like in bitcoin mining?A: No, we are not planning to invest in bitcoin mining. We focus on disciplined and strategic investments. Q: How are tariffs impacting your business, and what is your outlook on this issue?A: Tariffs have had little impact on our business. We notified customers in advance that costs would be passed along, and we haven't seen significant tariffs from suppliers. We continue to monitor the situation but don't foresee any immediate issues. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
