NYSE$HXL

Hexcel Corp · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Hexcel's second quarter results were impacted by the unprecedented economic headwind in the Aerospace industry due to the COVID-19 pandemic.

Hexcel Corporation reported a significant decrease in sales and earnings per share for the second quarter of 2020, primarily due to the impact of the COVID-19 pandemic on the commercial aerospace industry. The company reacted quickly to restructure the business and align costs to the changing demand, and generated positive free cash flow during the quarter. Hexcel is positioning its cost structure for strong margin performance when markets stabilize.

  • Q2 2020 GAAP diluted EPS was ($0.01) with adjusted diluted EPS of $0.08, compared to Q2 2019 GAAP diluted EPS and adjusted diluted EPS of $0.94.
  • Q2 2020 Sales were $379 million, compared to $609 million in Q2 2019.
  • Free Cash Flow YTD of $33 million, with $52 million generated in the second quarter.
  • Liquidity remains strong, increasing to $689 million, with cash on hand of $257 million and revolver borrowing availability of $432 million, at June 30, 2020.

Headline financials

Total Revenue

$379M

Previous: $609M-37.8%
EPS (adj)

$0.08

Previous: $0.94-91.5%
Gross Margin

14.5%

Previous: 27.7%-47.7%
Adj. Op. Inc. % of Sales

5.1%

Previous: 18.9%-73.0%
Capital Expenditures

-$40.4M

Previous: -$99.3M+59.3%
Free Cash Flow

$1M

Previous: $53.8M-98.1%
Net Income

$41.4M

Previous: $153M-73.0%
Operating Income

$6.4M

Previous: $115M-94.4%
Gross Profit

$54.9M

Previous: $169M-67.5%
Cash & Equivalents

$257M

Previous: $55.4M+364.3%
Total Assets

$3.22B

Previous: $3.2B+0.9%
Stock-Based Comp

-$1.7M

Previous: $2.4M-170.8%

Revenue & EPS history

Hexcel · Revenue · Quarterly

$379M

Q2 2020-37.8%vs Q2 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Hexcel · $420M total across 2 segments · Q3 2023

  • Composite Materials
    $341M+16.0%
  • Engineered Products
    $79M+11.0%

Forward guidance

The Company continues to withhold financial guidance due to the market uncertainties arising from the global 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 Q2 2020

Historical avgQ2 2020

+0.1%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+3.6%

Avg return

30 days after

55%

38 / 69 earnings

Positive

+11.1%

Q3 2025

Best reaction

-11.6%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.6%+6.8%-1.1%
Q4 2025+5.5%+3.4%+15.5%
Q3 2025+11.1%+13.9%+13.8%
Q2 2025-1.2%-2.8%-0.8%
Q1 2025-4.3%-0.4%+3.1%
Q4 2024+3.2%-2.4%-8.5%
Q3 2024+2.7%-0.3%-6.6%
Q2 2024-7.6%-5.4%-7.9%
Q1 2024+3.0%+4.0%+15.5%
Q4 2023-8.9%-7.3%+2.4%
Q3 2023-7.6%-8.1%+3.7%
Q2 2023-6.3%-7.0%-4.3%
Q1 2023+6.2%+5.7%+3.9%
Q4 2022+9.0%+10.7%+16.5%
Q3 2022-2.8%-2.4%+6.0%
Q2 2022+1.4%+6.0%+7.0%
Q1 2022+1.2%-2.2%-0.8%
Q4 2021-6.2%-0.8%+8.4%
Q3 2021-4.4%-5.6%+1.3%
Q2 2021+1.8%-5.7%-1.0%
Q1 2021-0.2%-0.3%-9.8%
Q4 2020-6.9%-9.7%+17.7%
Q3 2020-4.0%-0.1%+41.0%
Q2 2020-9.0%-18.3%-13.8%
Q1 2020-11.6%-12.5%-5.0%
Q4 2019+0.6%+0.0%-6.4%
Q3 2019-0.8%-3.2%+4.4%
Q2 2019+4.4%+4.0%+2.0%
Q1 2019+0.3%+4.1%+7.4%
Q4 2018+7.4%+6.6%+16.5%
Q3 2018-4.0%-7.3%-5.8%
Q2 2018-2.4%-0.6%-1.4%
Q1 2018+3.5%+2.2%+9.1%
Q4 2017+2.1%+4.8%+3.7%
Q3 2017+4.9%+7.4%+1.0%
Q2 2017-4.6%-5.2%-3.5%
Q1 2017-2.3%-1.5%-5.1%
Q4 2016-0.3%-1.0%+6.4%
Q3 2016+3.6%+4.7%+14.1%
Q2 2016+6.5%+4.4%+7.3%
Q1 2016+0.7%
Q4 2015+8.2%
Q3 2015-7.6%
Q2 2015-1.4%
Q1 2015+0.2%
Q4 2014+4.8%
Q3 2014+1.6%
Q2 2014-3.0%
Q1 2014-3.3%
Q4 2013-7.8%
Q3 2013+1.3%
Q2 2013+3.6%
Q1 2013+9.1%
Q4 2012+0.3%
Q3 2012-1.2%
Q2 2012-7.2%
Q1 2012+5.1%
Q4 2008+3.5%
Q4 2011+3.5%
Q3 2011-1.3%
Q2 2011+0.4%
Q1 2010+8.1%
Q1 2011+1.9%
Q4 2010+2.4%
Q3 2009-2.3%
Q3 2010-2.3%
Q2 2010+4.1%
Q4 2009+4.1%
Q2 2009+4.1%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro