CEO Pushes Back on Reports That Jet Engine Ramp Is Losing Steam, Says Growth Will Be Steeper
PKE sits 44% above its 52-week low of $18.25.
Summary
CEO Brian Shore went on record to rebut independent reports published after the October 8 Q2 call that questioned the robustness of Park's commercial jet engine ramp-up, which he calls the 'Juggernaut.' He says recent high-level talks with the key customer point to a ramp that is 'much steeper and more aggressive' than previously understood, directly contradicting the skeptics. The catch: Park must aggressively add staffing and production at its Newton, Kansas plant to keep up, and Shore admits that will be 'very demanding and arduous' until the new Tulsa, Oklahoma plant comes online. This matters because the engine program is the core growth story behind Q2's 27% sales jump to $20.8M and $0.21 EPS, and the CEO is explicitly defending that narrative against a credibility hit.
At the time of this announcement, PKE was trading at $26.27 on NYSE in the Industrial Applications And Services sector, with a market capitalization of approximately $578.8M. The 52-week trading range was $18.25 to $39.86. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: GlobeNewswire.