Carpenter Technology Corporation · NYSE:CRS
Carpenter Technology — Q1 FY2027 Earnings Presentation
19 slides from Carpenter Technology's earnings presentation, Oct 22, 2026
Slide 1: Carpenter Technology Corporation 1st Quarter Fiscal Year 2027 Earnings Call
October 22, 2026 CARPENTER TECHNOLOGY CORPORATION 1st Quarter Fiscal Year 2027 Earnings Call © 2026 CRS Holdings, LLC. All rights reserved.
Slide 2: Cautionary Statement
Cautionary Statement Forward-looking statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, among other things, statements regarding guidance, outlook, targets, objectives, futur
Slide 3: 1st Quarter Fiscal Year 2027
st 1 QUARTER FISCAL YEAR 2027 Tony Thene | Chairman, President and Chief Executive Officer © 2026 CRS Holdings, LLC. All rights reserved. 3
Slide 4: Safety is Our Highest Value
Safety is Our Highest Value Total case incident rate 2.0 1.8 1.7 1.7 1.4 1.4 1.3 1.2 1.1 1.0 0.6 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 YTD © 2026 CRS Holdings, LLC. All rights reserved. 4
Slide 5: Quarter Performance: year-over-year operating income and operating margin expansion
Quarter Performance: year-over-year operating income and operating margin expansion Delivered record first quarter SAO expanded margins year-over- Strengthening demand and pricing operating income year environment Operating Income ($M) SAO Adjusted Operating Margin (%) * • Accelerating demand with b
Slide 6: First Quarter Fiscal Year 2027 Net Sales
First Quarter Fiscal Year 2027 Net Sales MARKET Q1-27 NET SALES EX. % NET SALES EX. VS. Q4-26 VS. Q1-26 Aerospace and Defense demand environment SURCHARGE ($M)* SURCHARGE continues to strengthen as supply chain ramps • Aerospace demand growing, driven by supply $425.4 67% AEROSPACE & DEFENSE -5% +1
Slide 7: 1st Quarter Fiscal Year 2027 Financial Overview
st 1 QUARTER FISCAL YEAR 2027 FINANCIAL OVERVIEW Tim Lain | Senior Vice President and Chief Financial Officer © 2026 CRS Holdings, LLC. All rights reserved. 7
Slide 8: Income Statement Summary
Income Statement Summary SEQUENTIAL YEAR-OVER- $ millions, except per share amounts Q1-27 Q4-26 Q1-26 CHANGE YEAR CHANGE Net Sales 798.2 851.0 733.7 (52.8) 64.5 Net Sales ex. Surcharge Revenue* 634.8 679.7 603.1 (44.9) 31.7 Gross Profit 256.3 268.9 216.4 (12.6) 39.9 Selling, General and Administrati
Slide 9: SAO Segment Summary
SAO Segment Summary SEQUENTIAL YEAR-OVER- $ millions Q1-27 Q4-26 Q1-26 CHANGE YEAR CHANGE Net Sales 730.4 770.5 659.6 (40.1) 70.8 Net Sales ex. Surcharge Revenue* 573.5 607.4 533.9 (33.9) 39.6 Operating Income 216.3 229.7 170.7 (13.4) 45.6 Adjusted Operating Margin ex. Surcharge Revenue* 37.7% 37.8%
Slide 10: PEP Segment Summary
PEP Segment Summary SEQUENTIAL YEAR-OVER- $ millions Q1-27 Q4-26 Q1-26 CHANGE YEAR CHANGE Net Sales 91.1 108.5 93.6 (17.4) (2.5) Net Sales ex. Surcharge Revenue* 83.0 98.2 87.2 (15.2) (4.2) Operating Income 7.3 7.1 9.4 0.2 (2.1) Adjusted Operating Margin ex. Surcharge Revenue* 8.8% 7.2% 10.8% 1.6% (
Slide 11: Capital Allocation: Repurchasing shares while investing in brownfield capacity expansion
Capital Allocation: Repurchasing shares while investing in brownfield capacity expansion Anticipate strong operating cash …While executing against planned …And maintaining healthy liquidity flow generation in fiscal year 2027... capital allocation priorities… and strong balance sheet • In recent fir
Slide 12: 1st Quarter Fiscal Year 2027 Closing Comments
st 1 QUARTER FISCAL YEAR 2027 CLOSING COMMENTS Tony Thene | Chairman, President and Chief Executive Officer © 2026 CRS Holdings, LLC. All rights reserved. 12
Slide 13: Outlook: Strong profit growth, continued margin expansion and accelerating demand
Outlook: Strong profit growth, continued margin expansion and accelerating demand Completed record first quarter, up 28% year-over-year, strong start to FY27 Operating Income ($M) Volume, mix and price continue to drive expanding margins in SAO Demand continues to accelerate, especially in Aerospace
Slide 14: Appendix of Non-GAAP Schedules
APPENDIX OF NON-GAAP SCHEDULES © 2026 CRS Holdings, LLC. All rights reserved. 14
Slide 15: Non-GAAP Schedules: Adjusted Operating Margin ex. Surcharge Revenue
Non-GAAP Schedules Adjusted Operating Margin ex. Surcharge Revenue $ millions Q1-27 Q4-26 Q1-26 Net Sales 798.2 851.0 733.7 Less: Surcharge Revenue 163.4 171.3 130.6 Net Sales ex. Surcharge Revenue 634.8 679.7 603.1 Operating Income 196.4 206.9 153.3 Operating Margin 24.6% 24.3% 20.9% Adjusted Opera
Slide 16: Non-GAAP Schedules: Adjusted Segment Operating Margin
Non-GAAP Schedules Adjusted Segment Operating Margin ex. Surcharge Revenue SAO SAO SAO PEP PEP PEP $ millions Q1-27 Q4-26 Q1-26 Q1-27 Q4-26 Q1-26 Net Sales 730.4 770.5 659.6 91.1 108.5 93.6 Less: Surcharge Revenue 156.9 163.1 125.7 8.1 10.3 6.4 Net Sales ex. Surcharge Revenue 573.5 607.4 533.9 83.0
Slide 17: Non-GAAP Schedules: Free Cash Flow
Non-GAAP Schedules Free Cash Flow $ millions Q1-27 Q4-26 Q1-26 Net Cash Provided from Operating Activities 52.8 240.1 39.2 Purchases of Property, Plant, Equipment and Software (77.7) (85.1) (42.6) Proceeds from Disposals of Property, Plant and Equipment 0.1 — — Free Cash Flow (24.8) 155.0 (3.4) Mana
Slide 18: Cash Flow & Liquidity Summary
Cash Flow & Liquidity Summary $ millions Q1-27 Q4-26 Q1-26 Net Income + Noncash Items 218.9 221.5 173.8 Inventory • Repurchased 241,924 (61.6) 16.8 15.6 shares ($133.9 million) in Working Capital / Other (95.9) 8.4 (144.3) Q1-27 against $400.0 Total Net Working Capital / Other (157.5) 25.2 (128.7) m
Slide 19: Your trusted partner in innovation.
Your trusted partner in innovation. Carpenter Technology Corporation (NYSE: CRS) is a recognized leader in high-performance specialty alloy materials and process solutions for critical applications in the aerospace and defense, medical, and other markets. Founded in 1889, Carpenter Technology has ev
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