Kennametal posts 10th consecutive year-over-year quarterly growth |
Local Stories

Kennametal posts 10th consecutive year-over-year quarterly growth

Joe Napsha

Kennametal Inc. this week announced its net income rose to $70.1 million for the quarter ending March 31, up $17 million from the same quarter a year ago, even through sales fell by $10.7 million to $597.2 million.

The Pittsburgh-based industrial toolmaker, which has a corporate campus in Unity, earned 83 cents per share for the quarter, an increase from 62 cents a share from a year ago. It was the 10th consecutive quarter of year-over-year earnings per share growth, Kennametal said.

Although sales dropped 2% compared to the same quarter a year ago, sales from business units operating a year ago rose by 3%. The drop in sales was attributed, in part, to a 4% unfavorable currency exchange rate, the company said.

Kennametal, which operates on a July 1-June 30 fiscal year, tightened its fiscal 2019 outlook to an adjusted earnings range of $3 to $3.10 per share, which was within its previous range.

Kennametal CEO Chris Rossi said in an earnings statement that its organic sales grew, despite increasingly tough comparables. The company’s end markets remained generally positive, except for the automotive industry, Rossi said.

Kennametal is predicting it will save $35 million to $40 million by end of fiscal 2020 on its restructuring associated with simplification and modernization of its business. The restructuring, however, is expected to cost between $55 million to $65 million, pre-tax, through this fiscal year and next year.

Kennametal’s shares fell 50 cents in trading Monday to close at $40.27.

Joe Napsha is a Tribune-Review staff writer. You can contact Joe at 724-836-5252, [email protected] or via Twitter .

Categories: Business | Local stories
TribLIVE commenting policy

You are solely responsible for your comments and by using you agree to our Terms of Service.

We moderate comments. Our goal is to provide substantive commentary for a general readership. By screening submissions, we provide a space where readers can share intelligent and informed commentary that enhances the quality of our news and information.

While most comments will be posted if they are on-topic and not abusive, moderating decisions are subjective. We will make them as carefully and consistently as we can. Because of the volume of reader comments, we cannot review individual moderation decisions with readers.

We value thoughtful comments representing a range of views that make their point quickly and politely. We make an effort to protect discussions from repeated comments either by the same reader or different readers

We follow the same standards for taste as the daily newspaper. A few things we won't tolerate: personal attacks, obscenity, vulgarity, profanity (including expletives and letters followed by dashes), commercial promotion, impersonations, incoherence, proselytizing and SHOUTING. Don't include URLs to Web sites.

We do not edit comments. They are either approved or deleted. We reserve the right to edit a comment that is quoted or excerpted in an article. In this case, we may fix spelling and punctuation.

We welcome strong opinions and criticism of our work, but we don't want comments to become bogged down with discussions of our policies and we will moderate accordingly.

We appreciate it when readers and people quoted in articles or blog posts point out errors of fact or emphasis and will investigate all assertions. But these suggestions should be sent via e-mail. To avoid distracting other readers, we won't publish comments that suggest a correction. Instead, corrections will be made in a blog post or in an article.