Eastern Co Stock Price, News & Analysis

The Eastern Company (NASDAQ:EML) has sold its Frazer & Jones foundry business, a move aimed at streamlining its portfolio to enhance growth and operating margins. President and CEO August Vlak noted that this sale aligns with their strategy to focus on core businesses, with proceeds allocated towards debt reduction and share repurchases. This follows prior divestitures of non-core businesses, signaling a commitment to strengthening the company’s primary operations.

The Eastern Company (NASDAQ:EML) reported a 15% increase in net sales from continuing operations, totaling $63.9 million for Q3 2021, driven by strong demand in core markets. Net earnings increased 21% to $3.8 million, or $0.61 per diluted share. Gross margins rose to 24%, aided by price increases offsetting material costs. Backlog grew significantly to $83.1 million, up 44% year-over-year. The company divested Greenwald Industries, utilizing proceeds for debt reduction and share repurchases. The net leverage ratio improved to 2.5x, indicating a strong balance sheet.

The Eastern Company (NASDAQ:EML) has announced the divestiture of its Greenwald Industries business as part of a strategy to streamline its operations and enhance growth. President August Vlak stated that the transaction will strengthen Eastern's focus on its core businesses and improve operating margins. Proceeds from the sale will primarily be used to reduce debt, enhancing the company’s balance sheet. Eastern's ongoing efforts include reporting non-core businesses as discontinued operations. The specific terms of the transaction remain undisclosed.

The Eastern Company (NASDAQ:EML) will release its third quarter 2021 financial results on November 10, 2021, after market close. A conference call is scheduled for November 11, 2021, at 11:00 a.m. ET to discuss the findings. Those unable to attend can access a replay of the webcast. The company specializes in engineered solutions for industries such as commercial transportation and logistics and operates in multiple countries including the U.S., Canada, Mexico, U.K., Taiwan, and China.

The Eastern Company (NASDAQ:EML) declared its quarterly cash dividend of $0.11 per share, set for payment on December 15, 2021. This marks the company's 325th consecutive quarterly dividend, reflecting its commitment to returning value to shareholders. Shareholders of record as of November 15, 2021 are eligible. The Eastern Company specializes in engineered solutions for niche industrial markets and operates globally. The announcement underscores the company's financial robustness amidst ongoing challenges from market dynamics.

The Eastern Company (NASDAQ:EML) reported a 55% increase in net sales from continuing operations to $61.2 million for Q2 2021, driven by strong demand in various industrial markets. Net earnings rose 32% to $2.8 million or $0.44 per diluted share. However, gross margins declined to 23% due to rising material and freight costs. The backlog improved significantly, reaching $89.2 million, a 61% increase year-over-year. A one-time charge of $8.1 million was recorded regarding discontinued operations, leading to a loss per diluted share of ($0.71).

The Eastern Company (NASDAQ:EML) has declared a quarterly cash dividend of $0.11 per share, scheduled for payment on September 15, 2021. Shareholders of record as of August 13, 2021 will benefit from this dividend, marking the company's 324^th consecutive quarterly distribution. This reflects the company's ongoing commitment to providing returns to its investors amidst its operations across various countries, focusing on long-term growth in industrial markets.

The Eastern Company (NASDAQ:EML) has declared a quarterly cash dividend of $0.11 per share, set to be paid on June 15, 2021, to shareholders of record as of May 12, 2021. This marks the company's 323rd consecutive quarterly dividend, reflecting its commitment to returning value to shareholders. The Eastern Company focuses on industrial markets through its segments: Engineered Solutions and Diversified Products, operating in the U.S. and internationally.

The Eastern Company (NASDAQ:EML) reported record first-quarter 2021 net sales of $73.1 million, a 12% increase from Q1 2020. Gross margin improved by 1.2% due to effective cost management despite rising raw material prices. Earnings per diluted share surged 102% to $0.93, aided by a $1.4 million one-time gain from consolidating operations. Operational cash flow grew 40% to $2.1 million, strengthening the balance sheet with net leverage at 2.8x. Backlog increased 33% year-over-year to $98.0 million.