Oxford’s RBC Bearings Inc. is tapping some of its sizable cash horde to buy back more of the precision-bearings maker’s stock.
RBC said its board approved a new $50 million share repurchase, replacing the previous $10 million buyback that expired immediately.
The company said it acquired 250,424 shares at an average price of $37.27 each.
Its stock closed Thursday at $49.96 a share.
“This repurchase program will enable us to offset the dilution of our incentive stock program, which is an important tool in our employee compensation plans and also demonstrates the strength of our cash generation and growth expectations.” Chairman and CEO Michael J. Hartnett said.
Hartnett said the rest of the company’s cash is earmarked for strategic acquisitions to bolster its aerospace, defense and industrial portfolios.
Meantime, RBC said it posted flat fiscal third-quarter sales and earnings.
For three months ended Dec. 29, RBC netted $12.1 million , or 53 cents a diluted share, down 0.5 percent from the $12.2 million, or 54 cents a share, netted the comparable period a year earlier.
Three-month sales were $96.3 million vs. $95.1 million a year earlier.
It’s cash-horde at the close of the third quarter stood at $113.2 million vs. $59.7 million a year earlier.
Backlog on Dec. 29, 2012 was $211.3 million vs. $215.7 million at Dec. 31, 2011.
