Free Post Earnings Research Report: Flowserve’s Sales Beat Estimates
Stock Monitor: Thermon Group Holdings Post Earnings Reporting
LONDON, UK / ACCESSWIRE / June 11, 2018 / If you want access to our free earnings report on Flowserve Corp. (NYSE: FLS), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=FLS. The Company reported its financial results on May 10, 2018, for the first quarter of the fiscal year 2018 (Q1 FY18). The leading provider of flow control products and services for the global infrastructure market, surpassed analysts' estimates for revenues for Q1 FY18. In addition, the Company restated its guidance for FY18. Register today and get access to over 1,000 Free Research Reports by joining our site below:
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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Flowserve most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:
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Earnings Highlights and Summary
For the quarter ended March 31, 2018, Flowserve's sales advanced 6.2% to $920.0 million compared to $866.3 million in the first quarter of the fiscal year 2017, primarily due to an increase in aftermarket sales. The Company's revenue numbers exceeded analysts' expectations of $884.1 million.
During Q1 FY18, Flowserve incurred cost of sales of $648.5 million compared to $597.3 million in Q1 FY17, increasing 8.6% on a y-o-y basis. The Company's gross profit improved to $271.4 million in the reported quarter compared to $269.0 million in the prior year's same period. For Q1 FY18, Flowserve's selling, general, and administrative expenses (SG&A) increased 3.3% to $229.2 million from $221.8 million in Q1 FY17. The Company posted an operating income of $45.4 million in Q1 FY18 compared to $50.7 million in Q1 FY17, decreasing 10.4% on a y-o-y basis.
Flowserve's net income declined 20.5% to $15.1 million in the reported quarter versus $19.1 million in the comparable quarter of last year. For Q1 FY18, the Company's diluted earnings per share (EPS) dipped 20% to $0.12 compared to $0.15 in Q1 FY17. The Company reported an adjusted EPS of $0.27 in Q1 FY18, in-line with analysts' estimates.
Bookings
For Q1 FY18, Flowserve's booking declined 3.1% to $928.5 million compared to $958.2 million in Q1 FY17. The Company's aftermarket bookings were $482.0 million, or 52% of total bookings, in the reported quarter, up 5.4%, or essentially flat on a constant currency basis. The Company's backlog was $1.8 billion at March 31, 2018, down 9.7% versus the year end of 2017.
Segment Details
Flowserve operates through three business segments, namely: (i) Engineered Product division (EPD); (ii) Industrial Product division (IPD); and (iii) Flow Control division (FCD).
For the reported quarter, Flowserve's EPD segment's sales rose 10.1% to $467.7 million compared to $424.7 million in the year ago corresponding period. The segment's gross profit was $139.8 million in Q1 FY18 compared to $136.7 million in Q1 FY17. The segment's operating income declined 14.2% to $39.4 million in the reported quarter versus $45.9 million in Q1 FY17.
Flowserve's IPD segment aggregated sales of $198.1 million in Q1 FY18 compared to $178.4 million in Q1 FY17, increasing 11% on a y-o-y basis. The segment's gross profit grew 31.9% to $45.9 million in the reported quarter versus $34.8 million in the year ago comparable period. The segment incurred an operating loss of $2.3 million in Q1 FY18 compared to a loss of $13.7 million in Q1 FY17.
For the first quarter of the fiscal year 2018, Flowserve's FCD segment's sales decreased 1.1% to $277.2 million compared to $280.4 million in Q1 FY17. For the reported quarter, the segment's gross profit dipped 10% to $88.2 million compared to $98.0 million in the year ago same period. The segment's operating income was $33.9 million in Q1 FY18 versus $41.8 million in Q1 FY17.
Cash Matters
As of March 31, 2018, Flowserve's cash and cash equivalents stood at $535.7 million compared to $325.8 million as of March 31, 2017. For the reported quarter, the Company used cash in operating activities of $120.7 million versus cash generated from operating activities of $3.9 million in the prior year's corresponding period.
Outlook
Flowserve restated its guidance for the full fiscal year 2018. The Company continues to expect adjusted EPS to be in the range of $1.50 to $1.70, and revenue to grow in the band of 3% to 6% for FY18.
Stock Performance Snapshot
June 08, 2018 - At Friday's closing bell, Flowserve's stock was slightly up 0.14%, ending the trading session at $42.17.
Volume traded for the day: 1.25 million shares.
Stock performance in the previous six-month period – up 0.86%; and year-to-date – up 0.09%
After last Friday's close, Flowserve's market cap was at $5.51 billion.
Price to Earnings (P/E) ratio was at 48.53.
The stock has a dividend yield of 1.80%.
The stock is part of the Industrial Goods sector, categorized under the Diversified Machinery industry. This sector was up 0.4% at the end of the session.
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