Hillman Solutions Q2 sales beat estimates on strong hardware demand
HLMN•Drivers of growth
The company said consistent demand for hardware products contributed to second-quarter sales growth.
Management also cited new business wins, including in Pro distribution, as a driver of growth.
Double-digit growth in Robotics and Digital Solutions, led by the MinuteKey 3.5 rollout, also supported second-quarter performance.
Q2 sales and earnings results
Hillman Solutions' second-quarter net sales rose 10%, beating analyst expectations.
Adjusted earnings per share for the quarter matched analyst consensus and were unchanged from the prior year.
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Sales | Beat | $442 mln | $433.72 mln (8 Analysts) |
| Q2 Adjusted EPS | Meet | $0.17 | $0.17 (7 Analysts) |
| Q2 Adjusted EBITDA | Beat | $77.10 mln | $76.14 mln (8 Analysts) |
Analyst coverage and valuation
The current average analyst rating on the shares is "buy," with 6 "strong buy" or "buy," 2 "hold," and no "sell" or "strong sell" ratings.
The average consensus recommendation for the industrial machinery and equipment peer group is "buy."
Wall Street's median 12-month price target for Hillman Solutions Corp is $12.00, about 52.5% above its July 31 closing price of $7.87.
The stock recently traded at 12 times the next 12-month earnings versus a P/E of 13 three months ago.
