Published on 9 May 2024 on Zacks via Yahoo Finance

Kennametal (KMT) Q3 Earnings Miss Estimates, Revenues Fall Y/Y

Kennametal Inc. KMT reported third-quarter fiscal 2024 (ended Mar 31, 2024) adjusted earnings of 30 cents per share, which missed the Zacks Consensus Estimate of 31 cents. The bottom line decreased 23.1% from the year-ago figure.

Revenue Details

Kennametal’s revenues were $515.8 million, which decreased 3.8% from the year-ago quarter’s figure. Organic sales declined 2% year over year. Business days had a negative impact of 1%. Currency exchange negatively affected sales by 1%.KMT’s revenues missed the Zacks Consensus Estimate of $525 million.On a geographical basis, revenues from American operations decreased 6.2% year over year to $252.9 million, whereas sales from Europe, the Middle East and Africa region were $164.2 million, up 0.2% from the year-ago quarter’s reading. Sales from the Asia Pacific belt decreased 3.1% to $98.6 million.Kennametal reports results under two business segments, namely Metal Cutting and Infrastructure. Its segmental performance for the fiscal third quarter is briefly discussed below:The Metal Cutting segment’s revenues of $326.6 million decreased 2.1% year over year. Organic sales growth in the quarter was flat. Forex woes had an unfavorable impact of 1% and business days had a negative impact of 1%. The Zacks Consensus Estimate for Metal Cutting’s revenues was pegged at $326 million.The Infrastructure segment’s revenues totaled $189.2 million, which were down 6.6% year over year. Foreign currency movements had an adverse impact of 1% and unfavorable business days had a negative impact of 1% year over year. Organic sales declined 5% year over year. The consensus estimate for Infrastructure’s revenues was pegged at $196 million.