GenCorp swings to Q3 profit
Shares of GenCorp Inc. (NYSE: GY) are up after the maker of aerospace and defense products reported it swung to a third-quarter profit on increased sales and a sizeable tax benefit.
During the three months ended August 31, the Rancho Cordova, Calif.-based firm earned $15.6 million, or $0.24 a share, compared with a loss of $13.1 million, or $0.24 per share, a year earlier. The period included a $12.4 million tax benefit, compared with $1 million during the same quarter of 2006.
Third-quarter revenue increased 25% to $198.5 million, from $158.3 million in the year-ago period. Sales in GenCorp’s aerospace and defense segments climbed 26% to $197.1 million from $156.6 million.
“The aerospace and defense segment delivered another quarter of solid performance," CEO Terry Hall said in a statement. "Our strategy of focusing on the aerospace and defense business, especially with emphasis on inspace, tactical missile and missile defense propulsion, is driving revenue and earnings.”
In morning trading, GY shares are up 6.63%, or $0.75, at $12.06.
