Kadant's 3Q 2020 revenue decreased 11% to $154.6 million compared to $173.5 million in 3Q 2019. Gross margin was 44.2% compared to 42.8% in 2019.
GAAP diluted earnings per share (EPS) decreased 9% to $1.28 compared to $1.41 in 2019. Adjusted diluted EPS decreased 5% to $1.31 compared to $1.38 in 2019. Adjusted EBITDA decreased 7% to $30 million compared to $32.3 million in 2019. Cash flow from operations decreased 5% to $24.4 million compared to $25.7 million in 2019.
Bookings decreased 16% to $143.3 million compared to $170.9 million in 2019. Organic bookings were down 17%, which excludes an acquisition and an increase from the favorable effect of foreign currency translation.
“Despite pandemic-related challenges, our revenue increased sequentially to $155 million in the 3Q and was stronger than expected driven by increased demand in our Industrial Processing and Flow Control segments," said Jeffrey L. Powell, president and CEO of Kadant. "We had our highest quarterly adjusted diluted EPS for the year of $1.31, up 24% sequentially, due to excellent operational execution and contributions from government employee retention programs. We were particularly pleased with our cash flow from operations of $24 million and free cash flow of $23 million. We paid down $26 million in debt in the quarter, which combined with our adjusted EBITDA helped drive a reduction in our leverage ratio to 1.88.”
Kadant Inc. is a global supplier of high-value, critical components and engineered systems used in process industries worldwide.
