Bristol-based aerospace manufacturer Barnes Group said Friday that its third-quarter profits declined 39% as the company continues cost-cutting efforts amid challenges from global events, inflation and recession concerns.
Barnes Group said that its third quarter net income was $17 million, or 33 cents per share, compared to $27.9 million, or 55 cents per share, a year ago. On an adjusted basis, earnings per share were 49 cents, down 11% from a year ago.
The company’s third quarter net sales were $315 million, down 3%, with organic sales increasing 2%.
A new activist hedge fund, Irenic Capital Management, has reportedly built a stake in Bristol-based Barnes Group Inc. and is exploring a possible sale of all or part of the company, Bloomberg reported Friday.
Irenic is asking the aerospace manufacturer to make changes to its board of directors and pursue a strategic review, according to the publication.
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Matt Atwater
He co-founded his company, with an initial focus on aerospace IT, just after the tech bubble burst in the early 2000s. In 2007, his business partner passed away, followed by the Great Recession a year later.
So when COVID-19 hit the global stage, decimating the commercial airline industry, Atwater was prepared to weather the storm. In fact, despite the initial negative impact from the pandemic early last year, Tsunami Tsolutions added 30 new employees during the back-half of 2020 and saw revenue increase by over 20%.
Atwater credits his company’s long-term strategic diversification of services – and a focus on two key Greater Hartford industries, aerospace and defense – with Tsunami’s success.