Hexcel misses Q1 estimates, cuts 2025 outlook on aerospace delays

Published 21/04/2025, 21:40
Hexcel misses Q1 estimates, cuts 2025 outlook on aerospace delays

Investing.com -- Hexcel Corporation (NYSE:HXL) reported first quarter earnings that fell short of analyst expectations and lowered its full-year guidance, citing continued delays in commercial aircraft production ramps, particularly for the Airbus A350 program.

The aerospace materials supplier posted adjusted earnings per share of $0.37 for Q1 2025, missing the analyst consensus of $0.43. Revenue came in at $456.5 million, below estimates of $480.53 million and down 3.3% from $472.3 million in the same quarter last year.

"As a result of continued supply chain driven delays in commercial aircraft production rate ramps, particularly on the Airbus A350 program, our 2025 growth will not be what we initially forecasted," said Tom Gentile, Chairman, CEO and President of Hexcel.

The company revised its 2025 guidance, now expecting sales between $1.88 billion to $1.95 billion, down from its previous forecast of $1.95 billion to $2.05 billion. Adjusted EPS guidance was lowered to $1.85-$2.05 from $2.05-$2.25 previously.

Commercial Aerospace sales, which account for 61% of total revenue, decreased 6.4% year-over-year to $280.1 million. The company cited lower Boeing (NYSE:BA) 787 and MAX sales as key drivers of the decline.

Despite the challenges, Hexcel returned $64 million to shareholders through share repurchases and dividends in Q1. The company also successfully refinanced $300 million of fixed rate debt during the quarter.

Hexcel’s stock dipped 1.4% in after-hours trading following the earnings release.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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