- AdvanSix Inc (NYSE: ASIX) reported second-quarter FY22 sales growth of 33.4% year-over-year to $583.74 million, beating the consensus of $557.5 million.
- Adjusted EPS improved to $2.30 compared to $1.64 in 2Q21, missing the consensus of $2.37.
- AdvanSix's net cash provided by operating activities year-to-date totaled $145.05 million, compared to $109.03 million a year ago. Free cash flow was $106.27 million.
- Adjusted EBITDA increased to $105.23 million (+32.3% Y/Y), and the margin contracted by 15 bps to 18.1%.
- ASIX repurchased 87,251 shares for ~$3 million during the quarter.
- Dividend: The company declared a quarterly cash dividend of $0.145 per share, a 16% increase from the previous quarter's dividend. The dividend is payable on August 30, 2022, to stockholders of record on August 16, 2022.
- "Looking forward, we expect continued healthy North America demand for nylon and chemical intermediates as well as favorable agriculture, nitrogen and sulfur fertilizer industry fundamentals particularly into next year's planting season. While the macro environment continues to be dynamic, we have substantially increased the earnings power of this business," commented CEO Erin Kane.
- FY22 Outlook: The company expects continued healthy demand for nylon and chemical intermediates in North America. The company targets significant earnings growth in 2022.
- It expects Capital Expenditures of $95 million - $105 million.
- Price Action: ASIX shares are trading higher by 1.81% at $38.97 during the market session on Friday.
Read at Benzinga