Flowserve Profit Tops Estimates; Cuts FY Guidance

(RTTNews) - Flowserve Corp (FLS), a maker of industrial flow management equipment, on Thursday reported second-quarter net earnings of $75 million or $0.56 per share compared with $123.5 million or $0.90 per share last year.

Excluding items, adjusted earnings for the quarter were $0.80 per share, and includes $0.06 per share of negative currency translation.

Revenues for the quarter were lower at $1.16 billion compared with $1.22 billion in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.79 per share on revenues of $1.13 billion for the quarter. Analysts' estimates typically exclude special items.

The results come against a backdrop of reduced global capital spending in our served end markets, increased headwinds in some emerging markets, low oil prices and a strong U.S. dollar, said the company's CEO Mark Blinn.

For the full year 2015, the company expects earnings of $3.10 to $3.40 per share, down from prior guidance of $3.25 to $3.65 per share; it expects revenues, excluding SIHI, to be down 10% to 15%, from prior guidance of 8% to 12% decline.

Analysts expect earnings of $3.25 per share and sales to decline 5.5% in 2015.

The reduced guidance stems from increased challenges in some emerging markets, coupled with ongoing delays and deferrals, the company said.