Quarterly ResultApr 29, 2026, 04:48 PM
CRS Q3 Operating Income $186.5M (Record); FY26 Outlook Raised
AI Summary
Carpenter Technology Corporation reported record operating income of $186.5 million for the third quarter of fiscal year 2026, a 20% sequential increase and 35% year-over-year. The Specialty Alloys Operations (SAO) segment was a key driver, achieving record operating income of $208.0 million and an adjusted operating margin of 35.6%. The company also generated strong cash flow and increased its full-year fiscal 2026 operating income and adjusted free cash flow guidance, citing accelerating demand in the Aerospace and Defense market.
Key Highlights
- Q3 FY2026 operating income reached a record $186.5 million, up 20% sequentially and 35% YoY.
- Diluted earnings per share for Q3 FY2026 was $2.77.
- Specialty Alloys Operations (SAO) segment operating income hit a record $208.0 million, with an adjusted operating margin of 35.6%.
- Generated $193.5 million in cash from operations and $124.8 million in adjusted free cash flow in Q3.
- Net sales for Q3 FY2026 increased 12% YoY to $811.5 million.
- Repurchased $52.7 million of common stock during the quarter.
- Increased FY2026 operating income guidance to $700M-$705M and adjusted free cash flow to ~$350M.
- Total liquidity stood at $793.8 million, including $294.8 million in cash.
Price Impact
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