BLOOMFIELD HILLS, Mich. — TriMas Corporation (NASDAQ: TRS) on Tuesday announced financial results for the quarter ended Sept. 30.
The company reported record third quarter net sales from continuing operations of $380.1 million, an increase of 7.1 percent compared to third quarter 2013. The company reported third quarter 2014 income from continuing operations attributable to TriMas Corporation of $18.4 million, or $0.41 per diluted share, as compared to income of $28.9 million, or $0.71 per diluted share, during the third quarter of 2013. Excluding Special Items, third quarter 2014 diluted earnings per share from continuing operations would have been $0.47, as compared to $0.65 in third quarter 2013, which was impacted by 11.1 percent higher weighted average shares outstanding and $1.9 million of diligence costs related to the acquisition of Allfast Fastening Systems in third quarter 2014.
Trimas reported record third quarter net sales of $380.1 million, an increase of 7.1 percent as compared to third quarter 2013, due to results from bolt-on acquisitions and the successful execution of numerous growth initiatives. During third quarter 2014, net sales increased in all six segments as compared to third quarter 2013.
Trimas' packaging segment achieved 8.9 percent sales growth in third quarter 2014, compared to third quarter 2013, offsetting the third quarter 2013 divestiture of its rings and levers business.
The company increased engineered components operating profit margin by 860 basis points, compared to third quarter 2013, as a result of actions taken to improve the businesses.
Trimas reduced interest expense by nearly 40 percent as compared to third quarter 2013, primarily as a result of the Company's October 2013 refinancing.The
The company sold certain intellectual property and related inventory and tooling of the former NI Industries business for $6.7 million, consistent with the Company's efforts to simplify the business and capture value.
Trimas, on a year-to-date basis, generated $37.1 million in free cash flow as compared to $6.1 million during the first nine months of 2013. Also raised 2014 Free Cash Flow outlook to be between $70 million and $80 million, from $55 million to $65 million.
“Throughout the third quarter, we continued to face both external market pressures and operational challenges in our energy, aerospace and cequent businesses as previously indicated,” said David Wathen, TriMas President and Chief Executive Officer. “We are keenly focused on improving our results to have a positive impact on the short and long-term. We exceeded our recent guidance and achieved third quarter 2014 diluted earnings per share of $0.47, excluding special items."
"We have intensified our efforts to increase margins across all of our businesses through the execution of a series of action plans," Wathen continued. "Our teams are focused on simplifying our company, as we concentrate on enhancing our mix of higher-margin businesses and continue to implement productivity and lean programs throughout the organization to reduce complexity and costs. We are in the process of supplementing and building additional capabilities in our operational and finance teams to better reflect our future needs, while continuing to focus on process improvement efforts. We also continue to identify the bright spots and support our customers with new, innovative products and expanded geographic reach."