Timken Lifts 2018 Outlook

(RTTNews) - Timken Co. (TKR) said that it raised its outlook for the fiscal year 2018, despite currency and trade headwinds, and it remains confident in the company's future.

The company now expects 2018 revenue to be up approximately 21 percent in total versus 2017. This includes expected organic growth of approximately 15 percent plus the benefit of acquisitions, including the recently announced Cone Drive and Rollon acquisitions. Previously, it expected 2018 revenue to be up about 17 percent from last year.

Within its segments, the company estimates for full-year 2018: Mobile Industries sales to be up approximately 18 percent, driven primarily by organic growth in the off-highway, heavy truck and rail sectors, as well as the benefit of acquisitions. Process Industries sales to be up approximately 25 percent, reflecting strong demand across the distribution, original equipment and services sectors, as well as the benefit of acquisitions and favorable currency.

Timken now anticipates 2018 earnings per share of $3.90 to $4.00 for the full year on a GAAP basis. Excluding special items, the company expects 2018 adjusted earnings per share to range from $4.10 to $4.20, which at the midpoint represents an increase of 58 percent from 2017. Analysts polled by Thomson Reuters expect the company to report earnings of $ 3.98 per share for 2018. Analysts' estimates typically exclude special items.

The company said in May that it expected earnings for 2018 to be in the range of $3.80 to $3.90 per share and adjusted earnings to a range of $3.90 to $4.00 per share.