Quarterly profit jumps for Hillenbrand
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Batesville-based Hillenbrand Inc. (NYSE: HI) is reporting fiscal second quarter net income of $463 million, up from $54.3 million during the same period last year. The quarter saw the completion of Hillenbrand’s $761 million sale of the former Batesville Casket Co.
CEO Kim Ryan said the results exceeded expectations, citing strong orders in the company’s Advanced Process Solutions business unit and “sequential improvement” in its Molding Technology Solutions segment.
Hillenbrand’s APS segment engineers process and material handling equipment and systems for industries such as durable plastics, food, and recycling.
The Molding Technology Solutions segment focuses on processing equipment, systems, and aftermarket parts and service for the plastic technology processing industry.
“We exited the quarter with record backlog and continued to see strong demand for aftermarket parts and service, though demand for our high margin hot runner equipment remained soft, in line with our expectations,” Ryan said in a news release. “Looking ahead, while we continue to experience some customer decision delays, we’re encouraged by the demand pipeline.”
The company’s backlog increased 16% to a record $1.97 billion, while revenue from continued operations rose 22% to $691 million.
Hillenbrand said it received pre-tax cash proceeds of $698 million from the sale of Batesville Casket to Connecticut-based LongRange Capital. The funding will be used to pay down debt.
The earnings report was released after stock markets closed Monday. Hillenbrand ended the trading day up 0.04% at $46.85 per share.
You can view the full earnings report by clicking here.