), a mechanical components manufacturer, reported weak results
for the fourth quarter of fiscal 2013, with adjusted earnings per
share of 32 cents, declining 15.8% year over year. However,
earnings beat the Zacks Consensus Estimate of 31 cents by a
In fiscal 2013, Rexnord reported adjusted earnings per share
of 98 cents, increasing by a penny over the year-ago earnings as
well as beating the Zacks Consensus Estimate of 97 cents.
: Revenue in the reported quarter was flat at $540.3 million,
compared with $540.1 million revenue recorded in the year ago
quarter. Core sales increased revenue by 1.0% in the quarter,
while foreign currency exchange reduced revenue by 1.0%. Revenue
missed the Zacks Consensus Estimate of $545.0 million by
On a segmental basis, revenue from
Process & Motion Control
was recorded at $313.9 million, declining from $324.7 million
recorded in the fourth quarter of fiscal 2012.
's revenue came in at $179.7 million, against $145.0 million in
the year-ago comparable quarter.
Revenue for fiscal 2013 amounted to $2,005.1 million, compared
with $1,944.2 million in fiscal 2012. The 3.0% increase in
revenue was facilitated by a 4.0% increase in the revenue from
acquisitions, which was slightly offset by 1.0% decline due to
foreign currency exchange. Revenue lagged the Zacks Consensus
Estimate of $2,019.0 million by 0.7%.
: Adjusted EBITDA in the quarter was $115.0 million, against
$113.1 million recorded in the year-ago quarter. This led to a 40
basis point increase in the EBITDA margin to 21.3%. Selling,
general and administrative expenses, as a percentage of sales,
were recorded at 20.1%, declining 70 basis points year over
In fiscal 2013, adjusted EBITDA was recorded at $405 million,
increasing 5.0% year-over-year, leading to a 40 basis point
increase in adjusted EBITDA margin to 20.2%.
: Exiting the fourth quarter of fiscal 2013, Rexnord's cash and
cash equivalents were recorded at $524.1 million, almost double
the $298.0 million recorded in the fiscal fourth quarter 2012.
Long-term debt stood at $1,962.3 million, compared with $2,413.4
million recorded in the comparable quarter.
: Based on the current results, management expects a 1.0%-3.0%
increase in the core sales for fiscal 2014. Adjusted EPS is
expected to lie in the range of $1.10 to $1.18. For the fiscal
first quarter 2014, sales are expected to be in the range of
$489.0 million to $499.0 million, with adjusted EPS in the range
of 17 cents to 19 cents.
Rexnord currently bears a Zacks Rank #3 (Hold). Other stocks
worth a look in the industry are
AO Smith Corp.
), carrying a Zacks Rank #1 (Strong Buy). Also,
Broadwind Energy, Inc.
Generac Holdings Inc.
) carry a Zacks Rank #2 (Buy) each.
SMITH (AO) CORP (AOS): Free Stock Analysis
BROADWIND ENRGY (BWEN): Free Stock Analysis
GENERAC HOLDING (GNRC): Free Stock Analysis
REXNORD CORP (RXN): Free Stock Analysis
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