Hexcel Corporation (HXL)
NYSE:HXL
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Earnings Data
Report Date
Jul 27, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.58Last Year’s EPS
0.5Same Quarter Last Year
Moderate Buy
Based on 13 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call communicated a clear recovery trajectory driven by strong commercial aerospace demand, meaningful margin expansion, improved EBITDA and cash flow, and strengthened liquidity actions — balanced by some one-time inventory benefits, FX and oil/ geopolitical risks, divestment-related sales headwinds in Defense/Other, and elevated leverage after last year's accelerated buyback. Management reaffirmed full-year guidance and emphasized disciplined, measured capacity bring-up and a focus on reducing leverage before pursuing M&A.Company Guidance
Total Sales Growth
Q1 2026 sales of $502 million, up ~10% year-over-year (8.8% in constant currency), reflecting a return of commercial aerospace demand and higher production levels.
Commercial Aerospace Strength
Commercial Aerospace sales of ~$333–334 million (≈66% of total), up ~19% YoY (18.8%), with growth across Airbus A350 and A320 and Boeing 787 and 737 MAX programs; Other commercial aerospace (regional and business jets) up 15.6%.
Margin and Profitability Improvement
Gross margin expanded to 26.9% from 22.4% a year ago. Adjusted operating income rose to $68 million (13.5% of sales) from $45 million (9.9%). Composite Materials adjusted operating margin improved to 17.6% from 14.2%.
Adjusted EBITDA and EPS
Adjusted EBITDA increased 26% to $107 million (from $85 million). Adjusted EPS for Q1 was $0.59; company reaffirmed 2026 adjusted EPS guidance of $2.10–$2.30.
Improved Cash Flow and Working Capital
Net cash provided by operating activities was $19 million vs. a $29 million use a year ago. Free cash flow was a use of $6 million vs. a use of $55 million prior year; working capital cash use improved to $63 million from $98 million.
Liquidity and Capital Actions
Refinanced $750 million revolver, extending maturity to 2031 (from 2028) with slightly improved pricing. Accelerated share repurchase completed in early March repurchasing ~4.5 million shares (~6% of float); remaining repurchase authorization ~$381 million. Quarterly dividend declared $0.18.
Program-Specific Production Momentum
A350 production aligning with Hexcel volumes (outlook ~80 units in 2026 with potential upside); 737 MAX production showing notable improvement (Q1 ~40/month; Boeing may exceed mid-400s forecast for 2026); 787 production a little above 7/month, validating the 90–100 unit expectation for 2026.
Operational Execution and Capacity Leverage
Improved capacity utilization and operational discipline drove operating leverage; management planning measured capacity bring-up (e.g., additional carbon fiber line(s)) to capture margin benefits while controlling incremental costs and start-up phasing.
Defense Demand Trends and Strategic Positioning
Defense & Space (excluding divested industrial business) saw low single-digit organic growth with strength in European fighter programs and U.S./European military rotorcraft; company emphasizes strategic focus on organic growth in Defense and long-term opportunity from rearmament.
HXL Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
HXL Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 22, 2026 | $87.15 | $91.32 | +4.78% |
Jan 28, 2026 | $80.06 | $84.38 | +5.40% |
Oct 22, 2025 | $63.45 | $70.63 | +11.31% |
Jul 24, 2025 | $61.91 | $60.67 | -2.00% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Hexcel Corporation (HXL) report earnings?
Hexcel Corporation (HXL) is schdueled to report earning on Jul 27, 2026, After Close (Confirmed).
What is Hexcel Corporation (HXL) earnings time?
Hexcel Corporation (HXL) earnings time is at Jul 27, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What is HXL EPS forecast?
HXL EPS forecast for the fiscal quarter 2026 (Q2) is 0.58.