MSA Safety Incorporated, a global provider of safety equipment and solutions, has released its financial results for the third quarter of 2024.
The company reported net sales of $433 million, reflecting a 3% year-over-year decrease on both a reported and organic constant currency basis.
GAAP operating income for the quarter was $91 million, accounting for 21.1% of sales.
On an adjusted basis, operating income was $98 million, or 22.6% of sales.
GAAP net income totaled $67 million, or $1.69 per diluted share, while adjusted earnings were $72 million, or $1.83 per diluted share.
MSA Safety took steps to improve its financial position during the third quarter.
The company repaid $38 million in debt and returned $20 million to shareholders through dividends.
Additionally, $14 million was allocated for capital expenditures, and $10 million was used to repurchase common stock.
Steve Blanco, MSA Safety President and Chief Executive Officer, commented on the performance: “Our team continued to execute well in the third quarter, delivering earnings growth despite a modest sales contraction.
“Revenue was impacted by the timing of self-contained breathing apparatus (SCBA) shipments as well as specific customer order delays.”
He also noted that orders grew by high single digits and that the company saw strong performance in its detection business.
Looking ahead, MSA Safety remains confident in its ability to meet its financial goals.
Lee McChesney, Senior Vice President and Chief Financial Officer, said: “We delivered resilient margin performance and strong cash conversion in the quarter.
“Our balance sheet remains healthy, with net leverage of 0.9 times.”
He added that the company is well-positioned to invest organically and pursue mergers and acquisitions (M&A) opportunities.
For the remainder of 2024, MSA Safety expects to finish strong, projecting mid-single-digit sales growth in the fourth quarter.
This would result in low single-digit top-line growth for the full year.
MSA Safety has scheduled a conference call to discuss its third-quarter 2024 results and outlook.
The call will take place on Thursday, October 24, 2024, at 10:00 a.m. Eastern time.
Participants can join the call via webcast or by dialing into the conference line.
A replay of the call will be available for 90 days after the event on the company’s investor relations website.
MSA Safety Incorporated reported $433 million in net sales for the third quarter of 2024, a 3% decrease from the previous year.
GAAP operating income was $91 million, while adjusted operating income reached $98 million.
The company repaid $38 million in debt, returned $20 million to shareholders, and invested in capital expenditures.
CEO Steve Blanco noted that orders increased despite some shipment delays.
CFO Lee McChesney emphasized the company’s strong balance sheet and its readiness to invest in future opportunities.
MSA Safety anticipates finishing 2024 with low single-digit growth.
