Core Insights - Crane NXT reported revenue of $404.4 million for the quarter ended June 2025, marking a year-over-year increase of 9.1% [1] - The earnings per share (EPS) for the same period was $0.97, down from $1.06 a year ago [1] - The reported revenue exceeded the Zacks Consensus Estimate of $376.41 million by 7.44%, while the EPS also surpassed the consensus estimate of $0.92 by 5.43% [1] Revenue Breakdown - Net Sales from Security and Authentication Technologies reached $193 million, exceeding the average estimate of $173.02 million by two analysts [4] - Net Sales from Crane Payment Innovations totaled $211.4 million, slightly above the average estimate of $203.42 million, but represented a year-over-year decline of 5.8% [4] Profitability Metrics - Operating profit from Security and Authentication Technologies was reported at $18 million, significantly lower than the average estimate of $31.59 million [4] - Operating profit from Crane Payment Innovations was $49 million, compared to the average estimate of $53.42 million [4] Stock Performance - Crane NXT shares have returned +1% over the past month, outperforming the Zacks S&P 500 composite's +0.5% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

Core Insights - Crane NXT reported quarterly earnings of $0.97 per share, exceeding the Zacks Consensus Estimate of $0.92 per share, but down from $1.06 per share a year ago, representing an earnings surprise of +5.43% [1] - The company achieved revenues of $404.4 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 7.44% and up from $370.6 million year-over-year [2] - Crane NXT has outperformed consensus EPS estimates three times in the last four quarters and has also topped revenue estimates three times during the same period [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.30 on revenues of $433.5 million, while the estimate for the current fiscal year is $4.09 on revenues of $1.59 billion [7] - The trend of estimate revisions for Crane NXT was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Technology Services industry, to which Crane NXT belongs, is currently ranked in the top 41% of over 250 Zacks industries, suggesting that companies in the top half tend to outperform those in the bottom half by more than 2 to 1 [8] - Another company in the same industry, Allot Communications, is expected to report break-even quarterly earnings per share, reflecting a year-over-year change of +100%, with revenues anticipated to be $22.9 million, up 3.3% from the previous year [9][10]

Core Insights - Crane NXT reported a sales growth of approximately 9% for the second quarter of 2025, with net sales reaching $404.4 million compared to $370.6 million in the same period of 2024 [4][5][7] - The company maintained its full-year earnings per share (EPS) guidance in the range of $4.00 to $4.30 [7][13] Financial Performance - The adjusted operating profit margin for the second quarter was approximately 21.2%, down from 24.1% in the previous year [6][10] - Operating profit decreased to $47.9 million, a decline of 29.1% from $67.6 million in the second quarter of 2024 [6][7] - The company experienced a core sales decline of 0.8%, primarily due to lower volumes in CPI [5][7] Segment Performance - Crane Payment Innovations segment reported net sales of $211.4 million, a decrease of 5.8% year-over-year, primarily driven by lower volumes [9] - Security and Authentication Technologies segment saw a significant increase in net sales to $193.0 million, up 32.0% year-over-year, largely due to acquisitions and core sales growth in international markets [10] Cash Flow and Financial Metrics - Cash provided by operating activities was $62.8 million, an increase from $56.8 million in the prior year [11] - The company held cash and cash equivalents of $152.5 million as of June 30, 2025, down from $165.8 million at the end of 2024 [12] Order Backlog - The total order backlog as of June 30, 2025, was $591.6 million, an increase from $547.8 million in the previous quarter [35]

Core Insights - Crane NXT, Co. is participating in a fireside chat at the Oppenheimer 28th Annual Technology, Internet & Communications Conference on August 11, 2025 [1] - The event will be held virtually, with a live webcast available on the company's investor relations website, and a replay will be accessible for one year [2] Company Overview - Crane NXT is a premier industrial technology company that offers trusted technology solutions for securing, detecting, and authenticating important assets [3] - The company operates through two main business segments: Security & Authentication Technologies and Crane Payment Innovations, providing advanced technologies for securing high-value physical products and protecting brand identity [3] - Crane NXT employs approximately 5,000 individuals dedicated to ensuring secure transactions and protecting customer assets globally [3]

Core Viewpoint - Wall Street anticipates a year-over-year decline in earnings for Crane NXT despite higher revenues, with a focus on how actual results will compare to estimates [1][3]. Earnings Expectations - Crane NXT is expected to report quarterly earnings of $0.92 per share, reflecting a year-over-year decrease of 13.2%, while revenues are projected to be $376.41 million, an increase of 1.6% from the previous year [3]. Estimate Revisions - The consensus EPS estimate has been revised 3.6% higher in the last 30 days, indicating a reassessment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model suggests that the Most Accurate Estimate for Crane NXT is lower than the consensus estimate, resulting in an Earnings ESP of -4.00%, indicating a bearish outlook from analysts [12]. Historical Performance - In the last reported quarter, Crane NXT exceeded earnings expectations with a surprise of +5.88%, having beaten consensus EPS estimates in two out of the last four quarters [13][14]. Investment Considerations - Despite the potential for an earnings beat, Crane NXT does not appear to be a compelling candidate for such an outcome, and investors should consider other factors before making investment decisions [17].

Company Overview - Crane NXT, Co. is a premier industrial technology company that offers trusted technology solutions for securing, detecting, and authenticating important assets for its customers [2] - The company operates through two main business segments: Security & Authentication Technologies and Crane Payment Innovations, providing advanced technologies for securing high-value physical products and sophisticated detection systems [2] - Crane NXT employs approximately 5,000 individuals dedicated to helping customers protect their assets and ensure secure transactions globally [2] Earnings Announcement - Crane NXT has scheduled its second quarter 2025 earnings release for August 6, 2025, after the market closes [3] - The earnings call will take place on August 7, 2025, at 10:00 a.m. Eastern Time, with access available through the Investors section of the company's website [3]

Group 1 - Crane NXT (NYSE: CXT) is the sole supplier of US paper currency to the US government, which positions the company uniquely in the market [1] - The company also provides services related to cash flow and investment opportunities in the oil and natural gas sector, indicating a diversified business model [1] - The focus on cash flow generation highlights the company's commitment to value and growth prospects, appealing to investors looking for real potential [1] Group 2 - Subscribers to the investment service receive access to a 50+ stock model account, which enhances their investment strategies [2] - The service includes in-depth cash flow analyses of exploration and production (E&P) firms, providing valuable insights for investors [2] - Live chat discussions about the sector foster a community environment for subscribers, promoting engagement and knowledge sharing [2]

Crane NXT (CXT) Q1 2025 Earnings Call May 08, 2025 10:00 AM ET Company Participants Matt Roache - VP, Investor RelationsAaron Saak - CEO & President of Crane NXTChristina Cristiano - Senior VP & CFOBob Labick - PresidentDamian Karas - Executive Director Conference Call Participants Matthew Summerville - Equity AnalystMichael Halloran - Senior Research Analyst - Associate Director of ResearchBobby Brooks - Vice President, Senior Equity Research Analyst Operator Good day, and thank you for standing by. Welcom ...

Financial Data and Key Metrics Changes - The company reported a sales growth of 5% year-over-year and an adjusted EPS of $0.54 for Q1 2025 [6][12] - Core sales declined by 4%, primarily due to lower volumes in the US currency business [6][12] - Adjusted segment operating profit margin was approximately 19%, impacted by lower volumes and unfavorable mix in US currency [12][14] Business Line Data and Key Metrics Changes - CPI's core sales declined by approximately 2%, driven by lower volumes in gaming and vending markets, while financial services and retail showed growth [14][15] - Security and authentication technologies saw a 22% increase in sales, including OPSEC, but core sales were down approximately 8% due to lower US currency volumes [15][16] - Crane Currency achieved a record high backlog with a book-to-bill ratio of 2.4, indicating strong demand for its anti-counterfeiting technology [6][11] Market Data and Key Metrics Changes - CPI ended the quarter with a backlog of $147 million and a book-to-bill ratio of approximately one [15] - The international currency business had a record high backlog of approximately $370 million, indicating strong performance and future sales confidence [16][73] - The company expects the impact of tariffs to be approximately $25 million on operating profit, with a significant portion related to CPI components sourced from China [18][19] Company Strategy and Development Direction - The company is focused on diversifying its portfolio through disciplined M&A, with the recent acquisition of De La Rue authentication solutions enhancing its security and authentication capabilities [7][10] - The new Crane authentication business aims to provide a unified set of products and services, leveraging synergies from the OPSEC and De La Rue integration [8][10] - The company is maintaining a robust M&A funnel and expects to execute additional transactions to expand its market-leading positions [12][25] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving full-year adjusted EPS guidance despite economic uncertainties and tariff impacts [22][23] - The company is proactively addressing tariff impacts through pricing actions and supply chain strategies, expecting to mitigate the direct effects on 2025 results [19][20] - Management highlighted the resilience of the authentication business, particularly due to government contracts and recurring services [47][48] Other Important Information - The company reaffirmed its full-year adjusted EPS guidance range of $4 to $4.3 [22] - The integration of OPSEC and De La Rue is on track, with expectations for accelerated synergies in the second half of the year [91][92] - The company anticipates sales growth in the SAT segment to be between 19% to 21%, reflecting strong demand and the addition of De La Rue [20][21] Q&A Session Summary Question: Can you provide more granularity on CPI's growth rates across major end markets? - Management confirmed the expected impact of tariffs primarily affects the vending market, with a projected low single-digit decline for the full year [29][34] Question: How did the US currency perform relative to expectations in Q1? - Management indicated that the US currency performed as expected, with international currency showing better-than-expected growth [36][38] Question: What are the key priorities for integrating the De La Rue business? - Management emphasized focusing on customer acquisition and operational synergies to enhance the authentication segment [57][58] Question: What is the outlook for the authentication business in the next 18 months? - Management expects mid single-digit growth in the authentication market, with potential for steady expansion as brands adopt more services [86][88] Question: What is the status of OPSEC's synergies? - Management confirmed that OPSEC is performing as expected, with synergies expected to accelerate following the De La Rue acquisition [90][92]

Financial Performance - Q1 2025 sales reached $330 million, a ~5% increase compared to $314 million in Q1 2024[6, 16] - Adjusted EPS for Q1 2025 was $0.54, aligning with expectations[6, 17] - Core growth declined by 4.1% in Q1 2025, impacted by U S Currency equipment upgrades[16] - Crane Payment Innovations (CPI) sales decreased by 2.9% to $203 million in Q1 2025[18] - Security and Authentication Technologies (SAT) sales increased by 21.8% to $127 million in Q1 2025[20] Strategic Initiatives - The company completed the acquisition of De La Rue Authentication Solutions, expecting ~$80 million to ~$90 million in sales from May to December 2025[7, 8] - OpSec and De La Rue are combining to form "Crane Authentication"[7] - The company is reaffirming full-year Adjusted EPS guidance of $4 00 to $4 30[6, 29] Financial Outlook - The company updated its sales growth guidance for Crane NXT to +6% to +8%, with SAT segment sales growth expected to be +19% to +21%[28] - CPI segment sales growth is now projected at -2% to 0%[28] - The company anticipates a ~$25 million unmitigated impact from tariffs, but expects to fully mitigate this through pricing and productivity measures[25, 26]