Kennametal sales fall by 9%
Kennametal reported its fourth quarter sales declined by 9% to $671 million, compared with $739 million in the same quarter last year.
The decline reflected an 8 percent organic decline and a 1 percent unfavorable effect from currency exchange.
Net income was $60.8 million, or 76 cents per share, compared to $86.5 million, or $1.06, in the same quarter last year.
For the full year, sales declined by 5% to $2.6 billion, compared with $2.7 billion last year. The decrease was driven by an 8 percent organic decline, a 2 percent unfavorable effect from currency exchange and a 1 percent decline due to fewer business days, partially offset by a 6 percent increase from Stellite.
Industrial segment sales of $384 million declined 9 percent from $421 million in the prior year quarter. On an organic basis, sales declined 8 percent in general engineering, 7 percent in transportation and 6 percent in aerospace and defense. On a regional basis, sales declined approximately 12 percent in the Americas, 6 percent in Europe and 5 percent in Asia.
Infrastructure segment sales of $288 million, declined 10 percent from $318 million in the prior year. On an organic basis, sales declined by 12 percent in the energy and 6 percent in the earthworks markets. Energy sales continued to reflect low drilling activity in oil and gas. Earthworks sales remained weak globally due to depressed levels of underground coal mining activity. On a regional basis, sales decreased approximately 11 percent in the Americas, 8 percent in Europe and 3 percent in Asia.
INDUSTRIAL SUPPLY MAGAZINE
The March/April issue of Industrial Supply magazine features an in-depth cover story about Joyce Lansdale and Vallen. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and David Kahle, as well as interviews with numerous product and distribution industry experts.
