Sign in

    Chigusa Katoku • JPMorgan Chase & Co.

    Chigusa Katoku's questions to Albany International Corp (AIN) leadership

    Chigusa Katoku's questions to Albany International Corp (AIN) leadership • Q2 2025

    Question

    Chigusa Katoku, on for Steve Tusa, asked for more detail on the AEC segment's margin pressure and the need for additional labor investment, and questioned the confidence in the full-year guidance which implies a significant second-half EBITDA ramp.

    Answer

    President & CEO Gunnar Kleveland clarified that the AEC margin pressure and EAC adjustment are primarily driven by the complex CH-53K program, where overhead costs were underestimated for the ramp. He stated that confidence in the full-year guidance is based on expected higher sales and returns in H2, driven by Heimbach synergies in Machine Clothing and growth across commercial and defense programs in AEC.

    Ask Fintool Equity Research AI

    Chigusa Katoku's questions to Albany International Corp (AIN) leadership • Q1 2025

    Question

    Chigusa Katoku, on for Steve Tusa, asked for the source of management's confidence in the Machine Clothing segment's expected acceleration for the rest of the year, given weaker-than-expected Q1 organic growth and tougher comps. She also asked about any signs of order pull-forwards.

    Answer

    President and CEO Gunnar Kleveland explained that the Q1 revenue decline was partly due to planned divestitures of a business and certain product lines. He expressed confidence in the full-year outlook because the segment's order backlog is very strong, indicating a healthy second and third quarter. Kleveland also confirmed that the company has not seen any pull-forward of orders from customers.

    Ask Fintool Equity Research AI

    Chigusa Katoku's questions to Albany International Corp (AIN) leadership • Q3 2024

    Question

    Chigusa Katoku of JPMorgan Chase & Co. asked about expectations for free cash flow conversion in 2025, whether the AEC segment will remain a cash user, and the key drivers for the strong margins in the Machine Clothing (MC) segment.

    Answer

    Robert Starr indicated that while the current high cash conversion rate may not be sustainable long-term, the company is focused on strong cash generation, with AEC expected to become less of a cash user. President and CEO Gunnar Kleveland attributed the strong MC margins to successful Heimbach integration efforts and excellent operational execution and cost management.

    Ask Fintool Equity Research AI