Franklin Electric misses by $0.02, misses on revs; guides Q2 EPS below consensus
Reports Q1 (Mar) earnings of $0.32 per share, excluding non-recurring items, $0.02 worse than the Capital IQ Consensus Estimate of $0.34; revenues fell 2.5% year/year to $225.7 mln vs the $240.23 mln consensus.
- Most of the factors that contributed to our Q1 2015 operating results will remain with us in the second quarter. We believe the impact of foreign currency translation will lower our Net Sales and Operating Income by about 8% when compared to Q2 of 2014, and, the continued impact of lower oil and gas prices will reduce sales an additional 3%."
- Further, unfavorable early season weather and higher than normal inventories in regions of the U.S. will continue to dampen its domestic ground water business. Offsetting these headwinds, are strong organic growth in many of its developing region markets, and, the pricing actions and fixed costs controls that the co has put in place
- Co issues downside guidance for Q2, sees EPS of $0.54-0.58 vs. $0.59 Capital IQ Consensus Estimate.