Eastern Reports Strong Q3 2024 Results and Appoints New CEO

The Eastern Company (NASDAQ:EML), an industrial manufacturer serving commercial transportation, logistics, and industrial markets, announced robust Q3 2024 results alongside the appointment of a new CEO. The company reported an increase in net sales from continuing operations to $71.3 million, up from $62.0 million in Q3 2023. Gross margin also improved to 25.5% from 24.9% in the same period last year.

Earnings per diluted share from continuing operations surged by 36% to $0.75, compared to $0.55 in Q3 2023. Additionally, Eastern Company advanced its business transformation by categorizing its Big 3 Mold business as discontinued operations. The Board of Directors named Ryan Schroeder as the new CEO, effective November 6, taking over from Mark Hernandez, who resigned from the position.

James Mitarotonda, Chair of the Board, expressed satisfaction with Ryan’s appointment, citing his successful track record in leading manufacturing companies towards long-term growth. Ryan’s experience includes executive roles at Plaskolite LLC, IMI Norgen, and Parker Hannifin.

The Company’s operational performance for Q3 showcased a considerable increase in net sales, gross margin, operating profit, and earnings per share from continuing operations, coupled with a 13% year-over-year backlog growth.

Eastern is restructuring its business portfolio, intending to sell the Big 3 Mold business to focus resources on manufacturing capabilities in key sectors. The company’s strategic positioning aligns with achieving consistent performance and creating shareholder value in the future.

The firm reported net income of $4.7 million for Q3 2024, translating to $0.75 per diluted share, compared to $3.5 million or $0.55 per diluted share in Q3 2023. Adjusted net income from continuing operations for Q3 2024 was $4.7 million or $0.75 per diluted share, up from $3.5 million or $0.55 per diluted share in the same period last year.

Eastern’s Q3 financial statement exhibited a positive trend, showcasing improvement in sales figures and operational efficiencies. The company continues to drive growth, emphasizing organic and acquisition-based expansion strategies, furthering its commitment to stakeholder value creation.

The Eastern Company will hold a conference call on November 6, 2024, to discuss Q3 results and operational matters. Participants can join via phone or web to engage with the company’s leadership.

For more in-depth financial information, the company encourages investors to review its full financial statements and disclosures.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Eastern’s 8K filing here.

Eastern Company Profile

The Eastern Company designs, manufactures, and sells engineered solutions to industrial markets in the United States and internationally. The company offers turnkey returnable packaging solutions, which are used in the assembly processes of vehicles, aircraft, and durable goods, as well as in production processes of plastic packaging products, packaged consumer goods, and pharmaceuticals; designs and manufactures blow mold tools and injection blow mold tooling products, and 2-step stretch blow molds and related components for the stretch blow molding industry; and supplies blow molds and change parts to the food, beverage, healthcare, and chemical industries.