Why Is JBT (JBT) Up 5.7% Since Last Earnings Report?

Core Viewpoint - John Bean Technologies (JBT) reported strong Q3 2024 earnings, with adjusted earnings per share of $1.50, exceeding estimates and reflecting a 35.1% year-over-year increase [2][3]. Financial Performance - Adjusted earnings per share were $1.50, beating the Zacks Consensus Estimate of $1.41, driven by volume growth, restructuring actions, supply-chain cost savings, and lower net interest expenses [2] - Reported earnings per share from continuing operations were $1.18, compared to $0.97 in the prior year [3] - Revenues reached $454 million, a 12.4% increase from the previous year, surpassing the Zacks Consensus Estimate of $445 million [3] - Backlog from continuing operations was $698 million, up 1.3% year-over-year, while orders increased by 10.5% to $440 million [3] Margin Analysis - Cost of sales rose 12.1% year-over-year to $290 million, while gross profit increased by 13% to $164 million, resulting in a gross margin of 36.1% [4] - Selling, general and administrative expenses increased by 15.3% to $117 million, but operating profit improved by 26.8% to $47 million, with an operating margin of 10.3% [5] - Adjusted EBITDA was approximately $82 million, reflecting a year-over-year increase of 23.2%, with an adjusted EBITDA margin of 18% [5] Cash and Debt Position - Cash and cash equivalents at the end of Q3 2024 were $534.5 million, up from $483 million at the end of 2023 [6] - Total debt was reported at $648 million as of September 30, 2024, slightly up from $646 million at the end of 2023 [7] Guidance and Estimates - The company revised its 2024 income from continuing operations expectations to $116-$125 million, down from $137-$146 million [8] - Expected revenues for 2024 are projected between $1.715 billion and $1.750 billion, with adjusted EBITDA forecasted at $295-$305 million and an EBITDA margin between 17% and 17.5% [8] - Adjusted earnings per share for 2024 are anticipated to be between $5.05 and $5.35 [8] Market Sentiment - Estimates for the stock have trended downward over the past month, with a current Zacks Rank of 3 (Hold), indicating an expectation of in-line returns in the coming months [9][10]