Newell Rubbermaid Inc. (NYSE:NWL) reported better-than-expected quarterly earnings, as improvement in gross margins offset a drop in sales and the maker of consumer and commercial products backed its forecast for 2012.
The Atlanta, Georgia-based company earned $0.47 per share for the second quarter on an normalized basis, up from $0.45 per share in the comparable period of last year. Reported earnings per share declined 22.4 percent to 38 cents.
Net sales declined 1.9 percent to $1.52 billion. On a core basis and excluding currency translation effects, top-line rose 0.4 percent.
Analysts, on average, polled by Thomson Reuters expected earnings of $0.45 per share on sales of $1.52 billion.
The company, which manufactures Sharpie markers and Rubbermaid storage containers, posted gross margin of 38.3 percent from 37.8 percent in the year-ago quarter.
Looking ahead for the full year, the company still expects normalized earnings per share in the range of $1.63 to $1.69 on core sales growth between 2 percent and 3 percent. Analysts expect earnings of $1.68 per share.
NWL shares, which have been trading in the 52-week range between $10.87 and $19.49, closed Thursday's regular trading at $17.70.