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Curtiss-Wright (CW) Slashes Q3, FY Earnings Outlook; Shares Slump

 October 05, 2012 07:55 AM
 

(By Balachander) Curtiss-Wright Corp. (NYSE:CW) plunged nearly 9 percent in premarket trading on Friday after the provider of engineered flow control products reduced its earnings forecast, citing negative impacts of a recent labor strike, delays in the start of oil and gas projects and modest softening of new orders.

"The majority of the financial impact relates to a walkout that shut down the plant that produces highly specialized nuclear cooling pumps and to unforeseen additional efforts identified during the final preparation and shipment of the first two AP1000 pumps," the company said.

The Parsippany, New Jersey-based company now expects earnings per share (EPS) for the third quarter between 20 cents and 24 cents, while Wall Street analysts expect 72 cents.

Curtiss-Wright currently forecasts EPS from continuing operations in the range of $2.05 to $2.15 from prior expectations of $2.50 to $2.60. Sales are now projected to be between $2.08 billion and $2.12 billion from $2.15 billion to $2.19 billion projected earlier.

Analysts expect CW to earn $2.52 per share for the year ending December on sales of $2.17 billion.

Curtiss-Wright will report its third-quarter results on November 1.

The stock, which has been trading between $28.55 and $41.91 over the past year, closed at $32.94 on Thursday.


Rich
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