Standex reports Q3 adjusted EPS $1.95, consensus $1.92

Reports Q3 revenue $207.8M, consensus $204.24M. President and CEO David Dunbar said, “Following strong operating performance in the fiscal Q2, we achieved several new records in our Q3: record sales since the divestment of the Refrigeration business in April 2020, record adjusted gross margin of 42.3%, and record adjusted operating margin of 19.4%. These results reflect the continued solid operational performance from core businesses, a full quarter of ownership of the fast-growing Amran/Narayan group, and contribution from the recent McStarlite acquisition. Our fast growth market sales totaled $60.4M or approximately 29% of total sales and are well on track to our expectations for the fiscal year of approximately $170M. We remain confident about the Company’s exposure to positive secular trends in electrical grid, electric and hybrid vehicles, renewable energy, commercialization of space, and defense, and we are reaffirming our long-term target for fast growth market sales of $340M plus by FY28. In addition, we launched three additional new products in the Q3 totaling 13 year-to-date, achieving our previously committed target of over a dozen and delivering more than 2% of incremental sales.”