WABCO Holdings Q4 Adj. Profit Beats View, But Revenues Miss - Quick Facts

(RTTNews) - WABCO Holdings Inc. (WBC), a global supplier of braking control systems and other technologies, reported a decline in profit for the fourth quarter from last year on lower sales. However, performance earnings per share beat analysts' expectations, while revenues missed their estimates. The company also forecast fiscal 2019 earnings below the Street estimates.

The company's net income for the fourth quarter declined to $114.5 million or $2.20 per share from $168.3 million or $3.12 per share in the year-ago period.

Performance earnings for the quarter were $2.13 per share, compared to $2.00 per share a year ago.

Sales for the quarter declined 2.4 percent to $911.6 million from $934.1 million in the year-ago period. However, sales rose 1.4 percent in local currencies.

On average, analysts polled by Thomson Reuters expect the company to report earnings of $1.98 per share for the quarter on revenues of $965.25 million. Analysts' estimates typically exclude special items.

Looking ahead to fiscal 2019, WABCO forecast sales growth in a range of 1.5 percent to 6.5 percent in local currencies, reported earnings in a range of $6.88 to $7.38 per share and performance earnings in a range of $7.60 to $8.10 per share.

The Street expects earnings of $8.13 per share for the year on revenues of $4.03 billion.

As part of its change in organizational logic, WABCO said it has decided to relocate its corporate headquarters to Bern, Switzerland, with the objective of creating a singular focus on fully globalizing the company's advanced technology strategy. The current Brussels base will become the headquarters of its newly formed division covering Europe, Middle East and Africa.