A. O. Smith Q3 Profit Up; Lifts FY13 Guidance - Quick Facts

(RTTNews) - A. O. Smith Corp. (AOS), a maker of water heaters and boilers, Monday reported an increase in third-quarter profit, reflecting a 16 percent increase in sales. The company also increased its full-year earnings guidance.

For the three-month period, the company reported net earnings of $46.2 million or $0.50 per share, compared with $37 million or $0.40 per share year. Included in third quarter 2013 net earnings and adjusted earnings were about $3 million of higher income tax benefits than previously estimated, primarily related to U.S. manufacturing, and research and development activities, the company said.

Excluding after-tax costs of $1 million related to the transfer of residential water heater manufacturing from the Fergus, Ontario, plant and $3.2 million in non-operating pension costs, the company reported adjusted earnings of of $50.4 million or $0.54 per share. On average, eleven analysts polled by Thomson Reuters expected the company to report earnings per share of $0.44 for the quarter. Analysts' estimates typically exclude one-time items.

Quarterly net sales increased to $536.2 million from prior year's $462.2 million. Analysts expected the company to generate revenues of $509.77 million.

Citing growth in third quarter, the company increased its full-year adjusted earnings guidance range to $2.00 - $2.04 per share, from previous expectations of $1.84 - $1.90 per share. Analysts expect the company to report earnings of $1.94 per share for the year. GAAP Earnings are now expected to be in the range $1.78 - $1.82 per share.