NASDAQ$TRS

TriMas Corporation · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

TriMas reported increased net sales, driven by record sales in the Packaging group, despite challenges in aerospace and industrial businesses due to the COVID-19 pandemic. The company resumed its share buyback program and announced an agreement to acquire Affaba & Ferrari.

TriMas reported a 5.9% increase in net sales for Q3 2020, driven by a strong performance in its Packaging segment. Despite a net loss due to impairment charges in the Aerospace segment, the company's adjusted EPS increased by 19.4%. TriMas also generated strong free cash flow and resumed its share repurchase program.

  • Increased third quarter net sales by 5.9%, driven by record sales in TriMas' Packaging group
  • Generated third quarter net cash provided by operating activities from continuing operations of $48.3 million, an increase of 73.4% compared to Q3 2019
  • Resumed the Company’s share buyback program during third quarter given strong cash flow; $165.1 million available under current repurchase authorization
  • Announced an agreement to acquire Affaba & Ferrari, a designer and manufacturer of engineered caps and closures for food and beverage, and industrial applications, further expanding TriMas’ Packaging group

Headline financials

Total Revenue

$199M

Previous: $237M-15.8%
EPS (adj)

$0.43

Previous: $0.44-2.3%
Free Cash Flow

-$101M

Previous: $19.1M-627.8%
Net Income

-$101M

Previous: $19.1M-627.8%
Operating Income

-$108M

Previous: $28.7M-477.6%
Gross Profit

$51.9M

Previous: $61.2M-15.2%
Cash & Equivalents

$99.7M

Previous: $57.9M+72.1%
Total Assets

$1.08B

Previous: $1.19B-9.3%
Stock-Based Comp

$930K

Previous: $1.09M-14.7%

Revenue & EPS history

TriMas · Revenue · Quarterly

$199M

Q3 2020-15.8%vs Q3 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

TriMas · $199M total across 3 segments · Q3 2020

  • Packaging
    $135M+28.1%
  • Aerospace (Discontinued)
    $39.1M-22.6%
  • Specialty Products
    $25.2M-22.1%

Forward guidance

TriMas reinstated certain 2020 full year guidance amounts, which assume there are no further significant, additional national or global negative impacts related to the pandemic.

Tailwinds

  • TriMas’ consolidated sales for full year 2020 to increase 4% to 6% as compared to full year 2019
  • Sales activity in the Packaging segment anticipated to remain robust
  • Full year 2020 adjusted diluted earnings per share of $1.45 to $1.50 per share
  • 2020 Free Cash Flow to be greater than $90 million
  • Maintaining a strong balance sheet

Headwinds

  • Continued weaker demand for our products in the Aerospace segment
  • Continued weaker demand for our products in the Specialty Products segments
  • Due to the COVID-19 pandemic and the resulting economic uncertainty, TriMas withdrew its 2020 full year guidance during the second quarter of 2020.
  • The inability to predict the amount and timing of the impacts of these Special Items makes a detailed reconciliation of these forward-looking non-GAAP financial measures impracticable.
  • Assumes there are no further significant, additional national or global negative impacts related to the pandemic.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-0.2%

Avg return

Earnings day

-0.9%

Avg return

5 days after

-0.3%

Avg return

30 days after

51%

33 / 65 earnings

Positive

+14.8%

Q3 2014

Best reaction

-29.6%

Q2 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.6%+14.9%+13.4%
Q4 2025+3.1%+4.0%-3.2%
Q3 2025-2.8%-9.1%-13.0%
Q1 2025+12.3%+17.9%+26.8%
Q4 2024-6.2%+0.1%+6.7%
Q3 2024-3.3%+1.0%-1.7%
Q2 2024-10.0%-13.0%-7.2%
Q1 2024-3.6%-2.0%-0.2%
Q4 2023-8.5%-6.0%+4.1%
Q3 2023+3.6%+5.8%+7.3%
Q2 2023-2.0%-7.3%-7.9%
Q1 2023+0.4%+1.7%+1.3%
Q4 2022-3.0%-1.0%-10.8%
Q3 2022-18.1%-14.0%-4.9%
Q2 2022+4.5%+2.0%-0.7%
Q1 2022-3.2%-5.1%-5.7%
Q4 2021-1.6%-0.8%-1.3%
Q3 2021+0.2%+2.2%+5.7%
Q2 2021-1.4%-5.1%-3.3%
Q1 2021+1.2%+3.5%+3.1%
Q4 2020-6.0%-10.7%-13.2%
Q3 2020+3.0%+10.5%+17.2%
Q2 2020-6.0%-5.1%+3.5%
Q1 2020-10.5%-11.5%-8.7%
Q4 2019-9.6%-4.8%-18.1%
Q3 2019-7.4%-5.2%-7.4%
Q2 2019-1.8%-1.6%-3.9%
Q1 2019-4.9%-3.9%-11.0%
Q4 2018+1.7%+2.2%-2.9%
Q3 2018+7.4%+7.4%+4.6%
Q2 2018+5.7%+4.0%+3.4%
Q1 2018-0.4%-1.1%+4.7%
Q4 2017+3.8%+2.6%+5.2%
Q3 2017-2.0%-4.3%-8.1%
Q2 2017+8.1%+11.3%+7.9%
Q1 2017+5.3%+5.3%+0.0%
Q4 2016-1.5%-6.9%-10.5%
Q3 2016+2.2%-0.6%+21.2%
Q2 2016-10.7%-12.5%-5.7%
Q1 2016-1.8%
Q4 2015+4.2%
Q3 2015+4.4%
Q2 2015-29.6%
Q1 2015-10.0%
Q4 2014+2.1%
Q3 2014+14.8%
Q2 2014-5.6%
Q1 2014+11.0%
Q4 2013-3.1%
Q3 2013-8.2%
Q2 2013+8.4%
Q1 2013+0.2%
Q4 2012+1.7%
Q3 2012-1.1%
Q2 2012+13.3%
Q1 2011-1.7%
Q1 2012+6.6%
Q4 2011+6.0%
Q4 2009+6.0%
Q3 2010+11.1%
Q3 2011+11.1%
Q4 2010+4.0%
Q2 2010+4.0%
Q2 2011+4.0%
Q1 2010-2.4%

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