RBC Bearings Inc. on Thursday reported a 17% increase in its third quarter sales, including a 3.1% increase in its industrial segment and a 41.5% jump in its aerospace and defense business.
The Connecticut-based bearings manufacturer posted net sales of $461.6 million, up from $394.4 million in the same quarter last year. Operating income rose from $85.6 million to $103 million over that span, while net income climbed from $57.9 million to $67.4 million. The company’s gross margin was flat year-over-year at 44.3%.
RBC officials attributed the results to “continued momentum” in aerospace and defense and a “steady” performance in the industrial business. The company’s July acquisition of VACCO also added $29.2 million to its overall net sales total.
RBC Chairman and CEO Michael Hartnett said that the company is “well-positioned for growth” in the current calendar year and beyond “given our robust, growing backlog, which has continued to benefit from recent contract wins within the A&D space.”
“As we look ahead, we are continuing to remain focused on strategic, profitable growth, increasing our production capacity, and delivering strong free cash flow that will help create long-term value for all our stakeholders,” Hartnett said in a statement.
RBC expects net sales of between $495 million and $505 million in the final quarter of its fiscal year, which would translate to year-over-year growth of between 13.1% to 15.4%. Organic growth — which excludes the impact of VACCO’s operations — is estimated at between 6.4% and 8.7%.
