Kennametal sales decline 1%
Kennametal reported that its seals for the fiscal 2013 second quarter decline by 1% to $633 million, compared to $642 in the same quarter last year.
The decrease reflects a 10 percent organic sales decline and a 1 percent unfavorable effect from currency exchange, partially offset by a 9 percent increase from the acquisition of Stellite and 1 percent from the effect of more business days.
Operating income was $131 million, compared with $196 million in the same period last year.
Industrial segment sales of $361 million declined 12 percent from $410 million in the prior year quarter, reflecting a 10 percent organic decline and a 2 percent unfavorable effect from currency exchange.
"We again sustained strong performance, in both profitability and return on invested capital, despite generally lackluster activity in the global industrial markets," said Kennametal chairman, president and chief executive officer Carlos Cardoso. "While recovery is progressing more slowly than expected, we have kept our organization agile and ready for the resumption of growth. Our Stellite acquisition is contributing to earnings and opening us to new growth opportunities in the energy and power generation industries. In addition, Kennametal remains committed to maximizing our results and maintaining our strong balance sheet to deliver increased shareholder value."
INDUSTRIAL SUPPLY MAGAZINE
The May/June issue of Industrial Supply magazine features an in-depth cover story about GHX Industrial. Plus, we're featuring articles by contributing writers Dr. Bharani Nagarathnam and Frank Hurtte, as well as interviews with numerous product and distribution industry experts.
