BLOOMFIELD, Conn. — Kaman Corp. (NYSE:KAMN) Monday reported financial results for the second quarter that ended June 27, 2014.
Kaman Corp. had a 6.3 percent year-over-year increase in net sales, hitting more than $459 million in Q2. Distribution sales increased by 12.6 percent, while aerospace sales decreased 4.1 percent.
Operating income showed a net decrease of 10.7 percent to just over $31 million. Corporate expenses accounted for the majority, with its cost at 26.9 percent more than it was in June 2013. Kaman Corp. did spend 12.8 percent less, however, on distribution operations.
Kaman Corp.'s adjusted EBITDA fell by 6.1 percent to $38.9 million, with its diluted earnings per share falling 11.9 percent to $80,000.
Neal J. Keating, Chairman, President and Chief Executive Officer, stated, "Significant improvement at Distribution and strong operating profit performance at Aerospace enabled us to achieve diluted earnings per share from continuing operations of $0.59 for the quarter. Our first half performance of $1.00 of earnings per diluted share positions us well to meet our full year outlook.
Distribution sales grew 12.6 percent for the second quarter, with organic sales per sales day increasing 3.1 percent, our third-straight quarter of organic sales growth. The sequential improvement in organic sales and the performance of the newly acquired B.W. Rogers drove Distribution to achieve a 5.1 percent operating margin. We are very pleased with the results for B.W. Rogers for the quarter and we expect to continue to realize accretive operating performance from this important acquisition. We have met our targeted expansion of our sales force and expect this initiative to meaningfully contribute toward Distribution's future growth.
Aerospace results for the second quarter benefited from the diversity of our programs, delivering strong operating margin of 17.2 percent. The New Zealand program continues its strong performance, as we near delivery of the first aircraft in the fourth quarter. We recently received additional orders for our JPF and we are pleased with the contribution of bearing product sales which helped us to deliver this excellent result."