good everyone. Thank you, morning, Max, and
Another despite outstanding adjusted excellent market operating XX% performance growth, end businesses core chain X% driven profit some by across and all driving growth sales quarter and challenges. with continued supply
for our confident and our to significant outlook drive in growth in XXXX both are in We ability and beyond. XXXX
I items, as reflected & start quarter Getting third XXXX, off Electronics, into in on growth and will compare with Starting slide the remain robust, release our and quarter Aerospace the end special basis. presentation. will excluding details, in a rate market and XXXX our press comments conditions that's of year-to-date both the with outlined in that to segment
demand to service This continues for levels. and few also parts business, traffic that demand new remained the limitations global OEMs to of aging in results just the And air below and aircraft with fleet can an deliver. exceed traffic points strong and aircraft side activity on the prepandemic On air is low aftermarket aircraft more due commercial deliveries. a very high retirements requires what
great measured are travel Overall, States, a international United demand X% the environment. In a above slightly just at RPKs pace. recovering more with XXXX levels
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as of total third and of military. demand everything to In strong with with in commercial customers' fourth that shipped with military up with Commercial late-quarter would aftermarket $XXX have year, slight increasing of our growth That level compared some increase with growth, XX% a requirements otherwise to OE last aftermarket in and XX% up benefit sequentially. XX%. the aftermarket reflected from increased did in in increased was sales quarter, and high backlog up sales increased XX% shipment $XXX growth quarter. XX% XX% million shipments we year-over-year, in the sales quarter XX% XX% this timing accommodate sales sales some the our Even million, possible early rates with quarter
beginning the but we rather, from on-time expected in few year, this that At were the recovery. mean environment significant to remember I supply chain. demand the on what would I as further just I is challenge related This strong to seeing expand remains supply like we While not in more expect the a continued ever did said we it, XXXX, of can improvements our suppliers. not one chain the the deliveries is by chain. of as supply gradual
demand levels.
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supply we see the as constraints stability like Over we electronic improvements seen seeing others suppliers. we in last greater However, particularly are in smaller in of new quarter, from machine have area, components components, the one
Our suppliers and labor. skilled are sub-suppliers of also shortages managing through
have these extremely cost. they we adding well, While navigated do shortages introduce
qualifying For costs chain have expediting associated well sources. supply with issues shipments suppliers due had second and new we adding as example, to to relating increased costs as
our that we customers year, to quality believe quarter delivery increased to before did primarily Crane, value time. safety, volumes of the compared At that leverage costs, the and doing last on higher productivity. accommodate in always XX.X% up best XXX margins and and approach maximizing reflecting points over we Segment the possible everything significantly, as is we have to basis prioritized
XXXX year we third sales from full the very XX% XX%, to the guidance, Regarding raised strong outlook reflecting core quarter.
-- quarter ahead that earlier. I well to fourth the the run rate half mentioned of down we quarter, but but due to first the modestly sales the implies For compared timing third shipment still specifically,
face and of of our the compared full even leverage No XX.X%, the implying year margin revised for last to points basis all XXX is facing. year the in change improvement industry challenges year full XX% reflecting to the target of
the as guidance long-term quarter to fourth we January; in report XXXX increase and we give we chain, above on based in assuming X% supply today when in to detailed improvement our CAGR gradually. leverage sales sales the XX% however, continued what can we in targeted these X% remain that broad expect will see to In into range. We results while with range gradual improve end persist to term, the may near XXXX our XX% towards operating lower expect forecast continuing of we to inefficiencies
position where the in supply pricing, we actions are that assertive still as to well and adjusting new XXXX our we we to appropriately investments the leverage drive continuing for being expediting forward, expansion confident to taking and make productivity, beyond. very are we today, factories in strong and in technology, move have chain However, on opportunities significant and margin staffing manage us continuing
full in outlook provided The nonresidential Flow nice continue did in though industrial pushouts all even to largely have wins well At explained some of we with to consistent messaging our some Technologies, European year confined have as remains project year, January. markets we though, quarter. some in as as previously, seen and see softness chemical, as Process demand positioned we our construction and North well are and to extremely markets we signs America, expected outgrow project the slowing
the few specific many in our As a we a process you markets. quarters look slowing product typically exposures, before reminder, if see playing prior activity broader others cycles, given at
XXXX recover a But quarters tend as also displayed we earlier. to cycles, in in few previous
a to share orders the project negative of markets. continue expect in late positive control, were change third our namely rather outgrow to we than before We better wins most driven our see We on XXXX to likely of XXXX quarter a in and Orders market what's in the months focus through by than few and inflection year. key gaining expected still end next fundamental outlook. our last
value trends compared margins are itself, strong X% benefit and FX-neutral up points sales XX.X% to X% levels to with orders X%. driven Adjusted $XXX Sequentially, sales have from backlog slightly. X% backlog increased mix. reflecting In Order we slightly quarter, a or second the quarter offset talked X% with prior the better XXX favorable rates the the increased we million, and start shortening core growth foreign backlog markets the as and delivered Compared of few primarily about FX-neutral FX-neutral productivity core of FX-neutral exchange. consistent increased and partially well gains, reflecting natural modest year, year, unfavorable some since the core improve. as to lead times operating continues year, by pricing by from chain up as of last decreased basis the X% of the a in slowing impact supply than orders
about X year, we full contribution expect million, $XX starting full to quarter adding to X% the with the sales For continue in acquisition the core about from Baum growth the point fourth year. of
year improvement XX.X%, points our before driving above basis full to basis basis and more an per we XXX record guidance our year, average our year's than margin raising this XX margin points margins are more have XX.X%, reflecting XXX average. We than just that basis guidance year. execution far point In XX.X% were hit last by COVID, points continued of on will stated of goal XXX outpaced we of XXXX, when
reflects Reflecting continued factors, growth including and operating in strong operating on value structural leverage improvement an the core operational includes markets the change positioned our where It's best business to customers. greatest an value today, nearly and shift and core chemical, for we wastewater the differentiation the ability pharmaceutical, in is our of the operating number guidance a as leverage. full in whole, Remember execution, change our of impressive XX% structural those pricing year a profit have the ongoing automation. XX% X% water, That full industrial year is or that where driving of business. target markets create mix X/X
the perfect also markets addition participates line to Baum a where piping are portfolio. These the today,
introductions pace continue at also with We higher and the future record for new with invest to structurally product margins. released
confidence after year to the margins. continue vitality the us cycle metrics growth further X% through opportunity and expand product X% high the profile to in improve substantial to giving New year
a with year. market commentary in than mix guidance as quarter, expect pricing seasonal in favorable strong the less discussed third driven more investment imply our we does given favorable the productivity, expectations step our the with In previously, did slowdown do consistent we throughout down our net mix, chemical inflation margins of fourth higher spending. along For a the We in fourth the expected. some outperform slowdown, and quarter, quarter have by and
in the factors for relative the them XX.X%, you rate stronger as we about our margins fourth year. some of related. half base the think of And to timing when XXXX, that margins first half off the significant that full year margin not you resulted were exit second guidance Remember quarter should
before to points specifically, expect are XXXX, million At we just we reaccelerating with be margins. down flat, on flat contribute up no a modestly outlook. up process point our sales For expect or $XX should impact of plan acquisition perhaps be XXXX. where for we next outlook, we entering the few margins that core in year operating next review approximately material will refine this segment, to With The sales year. to sales Baum would relatively
prior points offset million another increased to as the reflecting XX.X% Engineered operating margins sales expected. and inflation to strong profit productivity lower heavily deleverage At with Adjusted solid by of decreased impressive XX% compared Materials, rate. $XX basis volumes, and lower year XXX a
we we year, the of XX%, For of a but from reflecting expect sales guidance up expect prior to great the XX.X%, the team's of continue XX%, full execution. decline margins now
As customer and this of is a seasonally between reminder, the fourth for the the softest New business always Thanksgiving given Year. shutdowns quarter year
to third million. of of $XXX cash beginning At at drew of free third credit $XXX flow the fund $XX cash quarter third quarter, to end million, In on with of Baum on adjusted Total total the after company hand. was million the Moving the our the we was the quarter, October, debt on facility million acquisition. results. $XXX the revolving end
and higher as terms midsized the quarters We small million size ahead. to us for to more original the our years million credit $XXX credit the give will of facility revolving also in The acquisitions facility. same limit flexibility with increased $XXX the from
$X with than in reaching as by financial We M&A billion today, more have XXXX. -- reaching and to as much substantial continue capacity billion $X flexibility
While capital this had, is more financial strategy is unchanged. allocation historically we have flexibility than our
our same We discipline that we with followed and always prioritizing have, the and shareholders. returns by M&A for capital will strategic growth, internal deploy investments strict financial to
to elements million guidance of turning for $X.XX narrowed increased prior adjusted guidance to EBITDA of at our other to from Now now with to range XXXX. $XXX We $X.XX XX.X%. EPS the range $X.XX or and adjusted guidance our $X.XX,
growth details, core prior already guidance. XX have margins now of range I up points operating guidance are X a from by of X%, the nonoperating the expense, for the outperformance primarily point discussed segment XX.X%, are expense sales prior expenses up in guidance and the adjusted primary higher year, count above of year-to-date partially offset While of million is increased interest, drivers X% million to from higher due basis higher Those items corporate shares a our XX.X slightly which $XX to and guidance. reflecting higher in prior $XX slightly of up million, $X million to diluted compensation
great very in capital So quarter generation separation another to support deployment. environment free following sheet and deliver value-creating we that strong cash and can demonstrating any our balance a and
ready Operator, our now question. we take are to first
