Hexcel Corp. (NYSE: HXL) reported Q1 EPS of $0.64, $0.06 worse than the analyst estimate of $0.70. Revenue for the quarter came in at $541 million versus the consensus estimate of $556.45 million.

Cash, 2020 Guidance Update and other

• The effective tax rate for the first quarter of 2020 was 21.9% compared to 22.7% in the first quarter of 2019. Both periods benefited from deductions associated with share-based compensation payments, as this activity is typically highest in the first quarter. The underlying effective tax rate is expected to be 23% for the balance of the year.
• Free cash flow for the first quarter of 2020 was negative $18.6 million compared to negative $15.2 million for the first quarter of 2019. Working capital was a cash use of $94.8 million in 2020 as compared to a use of $78.4 million in 2019. Cash used for capital expenditures was $27.2 million in the first quarter of 2020 compared to $61.1 million in the comparable prior year period. Free cash flow is defined as cash generated from operating activities less cash paid for capital expenditures.
• The Company used approximately $25 million to repurchase shares of its common stock early in the first quarter of 2020 prior to suspending the share repurchase program. The share repurchase program remains suspended during this period of market uncertainty. The remaining authorization under the share repurchase program at March 31, 2020 was $217 million.
• The Company has withdrawn all previously provided 2020 and mid-term financial guidance due to the market uncertainties from the global pandemic.

For earnings history and earnings-related data on Hexcel Corp. (HXL) click here.