Business
The Eastern Company Reports Second Quarter 2021 Financial Results
NET SALES from continuing operations INCREASED BY 55%; NET EARNINGS from continuing operations grew BY 32%Eastern accelerates its transformation and focus on
About this update from Eastern Company (the)
[{"type":"text","content":"NET SALES from continuing operations INCREASED BY 55%; NET EARNINGS from continuing operations grew BY 32%Eastern accelerates its transformation and focus on growing its Engineered Solutions segment. The Company reports its Diversified Products segment as \"discontinued operations\" while exploring strategic alternatives for these businesses.Strong demand across core markets drove second quarter of 2021 net sales from continuing operations growth of 55% to $61.2 million. Customer orders were strong and backlog grew to $89.2 million at the end of the second quarter of 2021, compared with $55.3 million at the end of the second quarter of 2020.Rapid escalation in material costs and freight rates led gross margins for the second quarter of 2021 to decline to 23% of net sales, compared to 26% for the second quarter of 2020.Earnings per diluted share from continuing operations for the second quarter of 2021 were $0.44, an increase of 33% over the second quarter of 2020. The Company took a one-time charge of $8.1 million, net of tax, associated with its discontinued operations. As a result, second quarter 2021 loss per diluted share related to the discontinued operations was ($1.15), and total loss per diluted share was ($0.71).Eastern's balance sheet continued to strengthen with net leverage of 2.3x as of the end of the second quarter of 2021, down from 2.8x at the end of fiscal year 2020.NAUGATUCK, CT / ACCESSWIRE / August 12, 2021 / The Eastern Company (\"Eastern\") (NASDAQ:EML), an industrial manufacturer of unique engineered solutions serving industrial markets, today announced the results of operations for the second fiscal quarter ended July 3, 2021.President and CEO August Vlak commented, \"Sales from continuing operations for the second quarter of 2021 increased 55% compared to the second quarter of 2020, due to strong demand across a broad range of our commercial vehicle and industrial markets, including Class 8 trucks, service bodies and light trucks, recreational vehicles, and electric vehicle manufacturers. While the economic recovery has accelerated demand, we also attribute our growth to strong execution of the launch of new products and solutions. Order flow remained robust, and our backlog at the end of the second quarter 2021 reached $89.2 million, an increase of $33.9 million, or 61% over the backlog at the end of th...