EnPro Q2 sales rise 6%, beat estimates; EPS misses

Overview

• EnPro Q2 sales rise 6% to $288.1 mln, beating analysts' expectations

• Adjusted EPS of $2.03 misses analysts' estimates, per LSEG data

• Company raises full-year 2025 guidance on strong aerospace and industrial demand

Outlook

• EnPro raises 2025 revenue growth guidance to 5%-7%

• Company expects 2025 adjusted EBITDA of $270 mln to $280 mln

• EnPro sees 2025 adjusted EPS between $7.60 and $8.10

Result Drivers

• AST SALES - Advanced Surface Technologies sales increased by 14.5%, driven by growth in precision cleaning solutions and optical coatings

• SEALING TECHNOLOGIES - Sales in Sealing Technologies rose 1.9%, with strong demand in aerospace and food and pharma sectors

• FOREIGN EXCHANGE IMPACT - Operating leverage was impacted by foreign exchange headwinds, particularly affecting AST

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the industrial machinery & equipment peer group is "buy."

• Wall Street's median 12-month price target for Enpro Inc is $220.00, about 2.3% above its August 4 closing price of $214.88

• The stock recently traded at 28 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nBw15ZMcLa