PHILADELPHIA, PA — Carpenter Technology Corporation (NYSE: CRS) authorized an additional $1 billion share repurchase program after exhausting its previous authorization, expanding shareholder returns as the specialty materials producer projects further earnings growth following record fiscal 2026 results.
The board approved the new program after Carpenter repurchased the remaining $119 million available under its prior $400 million authorization in August.
Chairman, President and Chief Executive Officer Tony R. Thene linked the increased capital return to the company’s balance sheet, cash generation and expectations for continued growth.
“We are delivering record results, and we believe the same dynamics that drove our success through fiscal year 2026 are only strengthening as we look ahead,” Thene stated.
Carpenter expects fiscal 2027 performance to grow significantly from fiscal 2026, according to the company. Management also expects a brownfield capacity expansion project to begin coming online in fiscal 2028, providing additional production capacity and supporting its longer-term earnings outlook.
The new repurchase authorization represents more than twice the size of the previous $400 million program. Carpenter plans to finance repurchases with cash generated from operations and available liquidity while continuing investments in growth projects and its dividend.
Shares may be acquired through open-market purchases, privately negotiated transactions, accelerated repurchase programs or other methods. The authorization does not require Carpenter to buy a specific number of shares and can be modified, suspended or terminated.
The capital-allocation move coincides with changes to Carpenter’s board. The company appointed former Howmet Aerospace Inc. Chief Financial Officer Ken Giacobbe as a director effective Aug. 11.
Giacobbe brings more than three decades of finance and executive experience spanning aerospace, manufacturing and technology. Before serving as executive vice president and CFO of Howmet Aerospace, he held the same positions at Arconic Inc. and previously served in senior financial roles at Alcoa Corporation, Avaya and Lucent Technologies.
His appointment adds an executive with experience in aerospace markets and capital allocation as Carpenter pursues its growth and capacity-expansion strategy.
Two existing directors are preparing to leave the board. Howard Yu plans to step down effective Oct. 6, the date of Carpenter’s annual stockholders meeting, while Colleen Pritchett will not seek re-election at the meeting.
Carpenter reported that neither departure resulted from a disagreement with the company or management over its operations, policies or practices.
The board currently has 12 members, including 11 independent directors. Following the October departures, it is expected to have 10 members, nine of them independent.
Separately, Carpenter’s board declared a quarterly cash dividend of 20 cents per common share. The dividend is payable Sept. 3 to shareholders of record Aug. 25.
Together, the $1 billion repurchase authorization and quarterly dividend extend Carpenter’s shareholder-return program while the company continues funding capacity investments intended to support growth beyond fiscal 2027.
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