Hexcel: 4th quarter ’17 up, but full year down

Fourth-quarter sales at Stamford”™s Hexcel Corp. were a record $511.7 million, an increase of 5.8 percent over the fourth quarter of 2016. However, full year 2017 sales were $1.973.3 billion, a decline of 1.5 percent from 2016.

Hexcel develops, manufactures and markets lightweight, high-performance structural materials including carbon fibers and specialty reinforcements for use in commercial aerospace, space and defense and industrial applications.

In the commercial aerospace sector, fourth-quarter sales were up 3.2 percent to $361.1 million while full-year sales declined 1.4 percent to $1.4 billion. Fourth-quarter space and defense sales were $96.4 million, an increase of 21.9 percent; full-year sales were $343.7 million, up 6.8 percent. Fourth-quarter industrial sales of $54.2 million represented a 0.6 decline; full-year sales of $219.8 million marked a 13.2 percent decrease.

Chairman, CEO and President Nick Stanage characterized 2017 as “a strong year,” adding, “Our results reflect disciplined execution to drive operational excellence, new product developments and new process innovations, all of which strengthen our leadership position in the markets we serve.”

He also said that Hexcel exceeded its expectations on free cash flow by generating $151 million, about 50 percent above its targeted levels, which “reflects the beginning of the transition in our business from a period of cash investment to one of cash generation.”