LOS ANGELES Higher
titanium shipments, improved distribution results and the
contribution of new acquisitions helped RTI International
Metals Inc. more than double its first-quarter earnings.
Net income totaled $5.6 million
on sales that rose 34.8 percent to nearly $162.9 million.
Titanium mill product shipments jumped 38.7 percent to 4.3
million pounds from 3.1 million pounds in the first three
months of last year, although the average realized price fell 3
percent to $19.41 per pound from $20.
RTI said its backlog at the end
of the quarter was $563 million, up 18.3 percent from $476
million at the end of 2011 and 60.9 percent higher than $350
million a year ago.
Boston-based investment group
Cowen & Co. said RTIs first-quarter results showed
During the quarter,
Pittsburgh-based RTI completed its largest-ever acquisition,
the $182.5-million purchase of Remmele Engineering Inc., a New
Brighton, Minn.-based machining and engineering company geared
to the aerospace, defense and medical markets.
The performance of all three of
RTIs operating segments "exceeded our expectations" and
these businesses are growing "while operational enhancements
throughout our internal supply chain are taking hold," Dawne S.
Hickton, vice chairwoman, president and chief executive
RTIs Titanium Group, which
includes its titanium production facilities, saw operating
earnings rise 3.4 percent to $9 million in the first quarter,
helped by a $3-million duty drawback accrual reversal that was
offset by ongoing expenses associated with the production
ramp-up of forging operations at RTIs new Martinsville,
First-quarter operating earnings
by the Fabrication Group totaled $85,000 vs. a year-earlier
operating loss as the addition of Remmele, as well as the
recently acquired RTI Advanced Forming unit, contributed $24
million in incremental sales. But RTI said Fabrication Group
results continued to be hampered by "slow demand" for seat
tracks and other titanium components for the much-delayed
Boeing 787 Dreamliner.
Meanwhile, growing titanium
demand for commercial aerospace and a "favorable product mix"
helped push operating earnings by RTIs Distribution Group
up 98.4 percent to $3.9 million on a 32.1-percent boost in
sales to $62.3 million.
Hickton forecast that RTIs
full-year operating earnings would be in a range of $45 million
to $50 million, after the impact of acquisition-related
adjustments, up from $27.8 million last year.