kamn-20230331

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549


FORM			10-Q


☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
	For the quarterly period ended	March 31, 2023


☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____ to ______


Commission File Number:			001-35419


KAMAN CORPORATION
(Exact name of registrant as specified in its charter)


Connecticut			06-0613548
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)

1332 Blue Hills Avenue,

Bloomfield,

Connecticut

06002

(Address of principal executive offices)

(Zip Code)


(860)			243-7100
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock ($1 par value)

KAMN

New York Stock Exchange LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.


Yes			☒			No			☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).


Yes			☒			No			☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☒

Accelerated filer

☐

Non-accelerated filer

☐

Smaller reporting company

☐

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.


			☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).


Yes			☐			No			☒


At April 28, 2023, there were			28,175,986			shares of Common Stock outstanding.

PART I

Item 1. Financial Statements

CONDENSED CONSOLIDATED BALANCE SHEETS

KAMAN CORPORATION AND SUBSIDIARIES

(In thousands, except share and per share amounts) (Unaudited)


	March 31, 2023		December 31, 2022
Assets
Current assets:
Cash and cash equivalents	$	53,986	$	24,154
Accounts receivable, net	101,292		87,659
Contract assets	116,168		113,182
Inventories	186,495		176,468
Income tax refunds receivable	1,321		13,981
Other current assets	22,975		16,114
Total current assets	482,237		431,558
Property, plant and equipment, net of accumulated depreciation of $274,458 and $268,089, respectively	203,266		201,606
Operating right-of-use assets, net	6,618		7,391
Goodwill	382,504		379,854
Other intangible assets, net	365,427		372,331
Deferred income taxes	47,818		47,385
Other assets	50,788		51,207
Total assets	$	1,538,658	$	1,491,332
Liabilities and Shareholders’ Equity
Current liabilities:
Accounts payable – trade	$	47,194	$	48,277
Accrued salaries and wages	26,258		31,395
Contract liabilities, current portion	6,044		4,081
Operating lease liabilities, current portion	3,121		3,332
Income taxes payable	170		393
Other current liabilities	44,210		39,097
Total current liabilities	126,997		126,575
Long-term debt, excluding current portion, net of debt issuance costs	609,325		561,061
Deferred income taxes	6,365		6,079
Underfunded pension	51,459		52,309
Contract liabilities, noncurrent portion	20,329		20,515
Operating lease liabilities, noncurrent portion	3,905		4,534
Other long-term liabilities	36,322		36,280
Commitments and contingencies (Note 12)
Shareholders' equity:
Preferred stock, $1 par value, 200,000 shares authorized; none outstanding	—		—
Common stock, $1 par value, 50,000,000 shares authorized; voting; 30,766,419 and 30,640,068 shares issued, respectively	30,766		30,640
Additional paid-in capital	247,812		245,436
Retained earnings	682,812		688,457
Accumulated other comprehensive income (loss)	(154,793)		(158,421)
Less 2,632,334 and 2,607,841 shares of common stock, respectively, held in treasury, at cost	(122,641)		(122,133)
Total shareholders’ equity	683,956		683,979
Total liabilities and shareholders’ equity	$	1,538,658	$	1,491,332

See accompanying notes to condensed consolidated financial statements.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

KAMAN CORPORATION AND SUBSIDIARIES

(In thousands, except per share amounts) (Unaudited)


	For the Three Months Ended
	March 31, 2023		April 1, 2022
Net sales	$	194,542	$	158,048
Cost of sales	126,998		107,461
Gross profit	67,544		50,587
Selling, general and administrative expenses	43,698		39,721
Research and development costs	5,907		5,113
Intangible asset amortization expense

SEC Form 10-Q filed by Kaman Corporation