TriMas Corp (TRS, Financial) announced its financial results for the third quarter ended September 30, 2023, on October 26, 2023. The company reported a net sales growth of 7.7%, reaching $235.3 million, compared to $218.5 million in Q3 2022. This growth was primarily driven by organic growth in the TriMas Specialty Products and TriMas Aerospace groups, and acquisition-related sales.
Financial Highlights
The company reported an operating profit of $23.8 million in Q3 2023, an increase of $2.8 million, or 13.3%, compared to $21.0 million in Q3 2022. The net income for Q3 2023 was $16.5 million, or $0.40 per diluted share, compared to $13.3 million, or $0.32 per diluted share, in Q3 2022, an increase of $3.2 million, or 24.0%.
TriMas Corp (TRS, Financial) also reported an increase in diluted EPS by 25.0% to $0.40 and adjusted diluted EPS by 42.5% to $0.57, compared to the prior year quarter. The company's net sales within the TriMas Aerospace and TriMas Specialty Products groups increased by 48.8% and 18.1%, respectively, compared to Q3 2022.
Company's Commentary
Our third quarter results were catalyzed by proactive cost savings initiatives within our TriMas Packaging group and intensive operational improvements within our TriMas Aerospace group, which aided our ability to achieve adjusted diluted EPS growth of 42.5% and top-line growth of 7.7%, compared to third quarter 2022," said Thomas Amato, TriMas President and Chief Executive Officer.
Financial Position
During the first nine months of 2023, the company paid cash of $77.3 million for acquisitions and repurchased 462,388 shares of its outstanding common stock for $13.4 million. TriMas ended Q3 2023 with $34.7 million of cash on hand, $312.3 million of cash and available borrowing capacity under its revolving credit facility, and a net leverage ratio of 2.3x as defined in the company's credit agreement.
Outlook
Looking forward, the company expects to continue increasing capacity within its TriMas Aerospace group to support market demand. However, a longer and more gradual recovery is expected within the TriMas Packaging group, extending into 2024. Despite this, the company still expects to be within the full year 2023 adjusted diluted EPS guidance range provided last quarter of $1.80 to $1.95.
Explore the complete 8-K earnings release (here) from TriMas Corp for further details.
