Kennametal Inc ( (KMT) ) has released its Q2 earnings. Here is a breakdown of the information Kennametal Inc presented to its investors.
Kennametal Inc., a leader in the industrial technology sector, specializes in materials science, tooling, and wear-resistant solutions across various industries including aerospace, defense, energy, and transportation.
In its fiscal 2025 second quarter, Kennametal Inc. reported sales of $482 million, a decrease from the previous year’s $495 million for the same period, along with an earnings per diluted share of $0.23 compared to $0.29 previously. The company highlighted a strong cash flow from operations and announced restructuring actions in response to challenging market conditions, particularly in the EMEA region.
Key financial metrics included a 3% decrease in sales, attributed to a 6% organic decline partially offset by favorable business days. Kennametal’s operating income improved to $32 million due to lower raw material costs and restructuring savings. The company also returned $31 million to shareholders through dividends and share repurchases, despite lowering its fiscal 2025 outlook owing to market uncertainties.
Looking forward, Kennametal expects continued challenges with a projected sales range of $1.95 to $2 billion for the full fiscal year and adjusted EPS between $1.05 and $1.30. The company anticipates its restructuring actions to yield significant cost savings and is focused on maintaining its pricing strategies to manage inflationary pressures.