Kennametal posts Q1 FY27 sales of $768 M, EPS $3.48 and lifts full‑year adjusted EPS outlook
Kennametal reported fiscal 2027 first‑quarter sales of $768 million, up 54 % year‑over‑year, and a record diluted EPS of $3.48. Operating income rose to $379 million, driven by favorable raw‑material pricing and strong metal‑cutting volumes. The company raised its full‑year adjusted EPS guidance to $5.00‑$6.00 while keeping FY27 sales guidance at $3.33‑$3.45 billion, and declared a quarterly dividend of $0.20 per share. Management highlighted a long‑term adjusted EBITDA margin target of 16‑19 % in a steady‑state tungsten environment.
Why it matters
The higher EPS outlook expands the earnings upside for investors, while the unchanged sales range leaves revenue expectations unchanged. The $0.20 dividend adds modest income, and the 16‑19 % EBITDA margin target signals continued focus on profitability despite elevated tungsten costs.
Key facts
- 1Sales of $768 million increased 54 % from $498 million in the prior year quarter, reflecting organic growth of 54 %. prnewswire.com
- 2Operating income was $379 million, a 49.4 % margin versus $38 million (7.5 % margin) a year earlier. prnewswire.com
- 3Diluted EPS for the quarter was $3.48, a GAAP record. prnewswire.com
- 4Adjusted EPS guidance for FY27 was raised to $5.00‑$6.00. prnewswire.com
- 5FY27 sales guidance remains $3.33‑$3.45 billion. prnewswire.com
- 6The company confirmed a long‑term adjusted EBITDA margin target of 16‑19 % assuming a steady‑state tungsten price environment. prnewswire.com
Summary written by AlphAI AI Desk from 15 of 15 sources. Not investment advice. Figures are as stated by the linked sources.