Kaman Distribution sales fall 7.4 percent
Kaman Industrial Technologies saw sales fall 7.4 percent in the third quarter to $274.4 million, compared to $296.3 million in the same period last year.
“Organic sales per sales day declined 6.3% when compared to the prior year and declined 2.7% sequentially, which reflects weaker than expected market conditions," said Neal J. Keating, chairman, president and chief executive officer of Kaman Corp.
“While disappointed in the overall market environment, we continue to invest in our productivity initiative at Distribution which includes operational process improvements and data analytics, primarily focused on expanding operating margins. Although this initiative has been successful in those locations where it has been deployed, the benefits we have seen to date have been largely offset by ongoing implementation costs," he added.
The company has lowered its expectations for the remainder of the year due to continued weakness in the industrial markets. Kaman now expects sales in the range of $1.11 billion to $1.12 billion, compared to a previously reported range of $1.12 billion to $1.15 billion.
As a whole, Kaman Corporation reported net sales of $453.5 million for the quarter, compared to $433.7 million in the 2015 third quarter.