Breaking News
Investing Pro 0
New Year’s SALE: Up to 40% OFF InvestingPro+ CLAIM OFFER

Cabot Corp (CBT) Q2 Earnings And Revenues Beat Estimates

By Zacks Investment ResearchStock MarketsMay 08, 2017 08:54AM ET
www.investing.com/analysis/cabot-corp-(cbt)-q2-earnings-and-revenues-beat-estimates-200187765
Cabot Corp (CBT) Q2 Earnings And Revenues Beat Estimates
By Zacks Investment Research   |  May 08, 2017 08:54AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
 
MT
-1.78%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
KRO
+1.77%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
CBT
-1.04%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
AKZOY
+0.57%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Cabot Corporation (NYSE:CBT) recorded net earnings (attributable to shareholders) of $74 million or $1.18 per share for the second quarter of fiscal 2017 (ended Mar 31, 2017) compared with $48 million or 76 cents recorded a year ago.

Barring one-time items, the adjusted earnings for the reported quarter were 87 cents per share, topping the Zacks Consensus Estimate of 85 cents.

Revenues increased around 19.4% year over year to $678 million in the reported quarter. Revenues in the quarter were largely driven by higher volumes across all segments. Sales beat the Zacks Consensus Estimate of $617 million.

Cabot Corporation Price, Consensus and EPS Surprise

Cabot Corporation Price, Consensus and EPS Surprise | Cabot Corporation Quote

Segment Highlights

Reinforcement Materials sales in the reported quarter rose 34.9% year over year to $352 million.

Sales from the Performance Chemicals rose 5.6% year over year to $228 million in the reported quarter.

Sales from the Purification Solutions remained flat at $67 million year over year in reported quarter.

Sales from the Specialty Fluids marginally increased to $7 million in the reported quarter compared with $6 million reported in the year-ago quarter.

Financial Position

Cabot Corp. ended the fiscal second quarter with cash balance of $133 million.

The company reported long-term debt of $664 million as of Mar 31, 2017.

Cash used in operating activities were around $51 million for the fiscal second quarter.

Outlook

The company said that it expects volumes of the Reinforcement Materials segment to be in line with the reported quarter, owing to higher level of planned maintenance activities. The demand for Performance Chemicals end market should remain robust, but higher feedstock costs will continue to create year-over-year impact. Cabot Corp. anticipates Purification Solutions to benefit from volume growth in the fiscal third quarter, which will be offset by costs associated with turnaround initiatives and inventory drawdown. The company is focused on delivering shareholder value by improving annual adjusted earnings by 7–10% over time and this year it expects to deliver adjusted earnings growth in the higher end of this range.

Price Performance

Cabot Corp.’s shares fell around 6.2% over the past three months, underperforming the Zacks categorized Chemicals-Diversified industry’s 5.2% gain.



Zacks Rank & Key Picks

Cabot Corp. currently carries a Zacks Rank #3 (Hold).

Better-ranked companies in the basic materials space include Kronos Worldwide Inc (NYSE:KRO) , Akzo Nobel NV (OTC:AKZOY) and ArcelorMittal (NYSE:MT) . All the three stocks sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks Rank #1 stocks here.

Kronos has an expected long-term earnings growth of 5%.

Akzo Nobel has an expected long-term earnings growth of 11.1%.

ArcelorMittal has an expected long-term earnings growth of 11.5%.

Zacks' 2017 IPO Watch List

Before looking into the stocks mentioned above, you may want to get a head start on potential tech IPOs that are popping up on Zacks' radar. Imagine being in the first wave of investors to jump on a company with almost unlimited growth potential? This Special Report gives you the current scoop on 5 that may go public at any time.

One has driven from 0 to a $68 billion valuation in 8 years. Four others are a little less obvious but already show jaw-dropping growth. Download this IPO Watch List today for free >>



Kronos Worldwide Inc (KRO): Free Stock Analysis Report

Cabot Corporation (CBT): Free Stock Analysis Report

Akzo Nobel NV (AKZOY): Free Stock Analysis Report

ArcelorMittal (MT): Free Stock Analysis Report

Original post
Cabot Corp (CBT) Q2 Earnings And Revenues Beat Estimates
 

Related Articles

David Moenning
Has a New Bull Arrived? By David Moenning - Jan 30, 2023 1

In last week's meandering market missive, I opined that, "the next major trend - in either direction - is likely to be driven by the outlook/expectation for the state of the...

Cabot Corp (CBT) Q2 Earnings And Revenues Beat Estimates

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.
  • Any comment you publish, together with your investing.com profile, will be public on investing.com and may be indexed and available through third party search engines, such as Google.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email