Aerojet Rocketdyne Holdings Inc. has reported an $18.4 million quarterly profit, thanks in part to gains from a sale of surplus land in Folsom.
The Rancho Cordova rocket-engine maker said last week the $18.4 million profit in the second quarter compared with a $50.9 million loss a year earlier. Earnings per share came to 26 cents, compared to a loss of 88 cents a year earlier. Revenue grew to $456.9 million from $404.5 million.
Aerospace revenues were up 2 percent for the company, which has struggled in recent quarters and is launching a downsizing campaign. A big difference in the latest quarter was a previously announced sale of 703 acres of land to a developer for $57 million. While only 550 acres has actually changed hands so far, Aerojet recorded a $17.9 million after-tax profit on the deal in the quarter.
The land deal was part of the company’s ongoing effort to turn its vast acreage of surplus land into cash through development or outright sales.
The company in March announced it would cut 500 jobs over four years, representing 10 percent of its workforce. About half the layoffs will occur at the Rancho Cordova headquarters, where employment currently totals about 1,600. President and Chief Executive Eileen Drake, who took charge of Aerojet at the end of May, has affirmed her commitment to the cost-cutting plan.