BGG - Free Research Report as Briggs & Stratton's Revenues Grew 4.25%
Stock Monitor: Crane Post Earnings Reporting
LONDON, UK / ACCESSWIRE / January 31, 2018 / Active-Investors.com has just released a free earnings report on Briggs & Stratton Corp. (NYSE: BGG). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=BGG. The Company posted its second quarter fiscal 2018 (Q2 FY18) financial results on January 24, 2018. The leading gasoline engines manufacturers' revenue and earnings surpassed market expectations. Register today and get access to over 1000 Free Research Reports by joining our site below:
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Active-Investors.com is currently working on the research report for Crane Co. (NYSE: CR), which also belongs to the Industrial Goods sector as the Company Briggs & Stratton. Do not miss out and become a member today for free to access this upcoming report at:
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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Briggs & Stratton most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:
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Earnings Highlights and Summary
During the second quarter of the fiscal year 2018, Briggs & Stratton posted net sales of $446.44 million compared to $428.24 million in Q2 FY17, reflecting an increase of 4.25%. The Company's revenue growth was backed by a favorable momentum in sales of engines and products designed for commercial markets. The Company's revenue numbers beat analysts' estimates of $420.90 million.
Briggs & Stratton's gross profit was $92.87 million in Q2 FY18 compared to $95.41 million in Q2 FY17, decreasing 2.66% on a y-o-y basis. The decrease was primarily due to sales mix and lower production volumes. The Company's selling, general, and administrative expenses (SG&A) amounted to $77.89 million in the reported quarter compared to $73.03 million in the year ago same period, increasing 6.65% on a y-o-y basis. The Company's operating profit was $17.09 million in Q2 FY18 compared to $25.39 million in Q2 FY17, declining 32.68% on a y-o-y basis.
Briggs & Stratton's net loss was $16.34 million in the reported quarter compared to a net income of $15.25 million in Q2 FY17. The Company's loss per share was $0.39 in Q2 FY18 compared to earnings per share (EPS) of $0.35 in the second quarter of the previous fiscal year. The decline was attributed to a one-time charge of $24.90 million as a result of the implementation of the US Tax Cuts and Jobs Act 2017 (TCJA), as well as business optimization charges.
Briggs & Stratton's adjusted earnings were $0.25 in the reported quarter compared to $0.35 in Q2 FY17, beating analysts' estimates of $0.23.
Segment Details
Briggs & Stratton has two business segments, namely: (i) Engines segment, and (ii) Products segment.
The Engines segment posted net sales of $243.51 million in the reported quarter compared to $260.80 in Q2 FY17, reflecting a drop of 6.63% on a y-o-y basis. The segment's adjusted income was $10.44 million in Q2 FY18 compared to $17.92 million in Q2 FY17, decreasing 41.76% on a y-o-y basis.
The Products segment reported net sales of $222.08 million in Q2 FY18 compared to $190.70 in Q2 FY17, reflecting a growth of 16.45% versus the year ago comparable period. The increase was primarily due to higher sales of commercial job site products, commercial lawn and garden equipment, and snow throwers. The segment's adjusted income was $9.36 million in Q2 FY18 compared to $6.81 million in Q2 FY17, increasing 37.54% on a y-o-y basis.
Cash Matters
Briggs & Stratton's cash outflow from operating activities was $64.86 million for the first six months of FY18 compared to $126.57 million for the first six months of FY17. On January 24, 2018, the Company declared a quarterly dividend of $0.14 per share, payable on April 03, 2018, to common stock shareholders of record as on March 16, 2018.
Outlook
For the fiscal year 2018, Briggs & Stratton is anticipating its net sales to be in the range of $1.91 billion - $1.96 billion. The Company's adjusted EPS is expected to be in the band of $1.45 - $1.62, while the effective tax rate is estimated to be in the range of 29.00% - 31.00%.
Stock Performance Snapshot
January 30, 2018 - At Tuesday's closing bell, Briggs & Stratton's stock slightly fell 0.97%, ending the trading session at $24.52.
Volume traded for the day: 633.13 thousand shares, which was above the 3-month average volume of 346.66 thousand shares.
Stock performance in the previous six-month period — up 4.70%; and past twelve-month period — up 11.91%
After yesterday's close, Briggs & Stratton's market cap was at $1.06 billion.
Price to Earnings (P/E) ratio was at 45.07.
The stock has a dividend yield of 2.28%.
The stock is part of the Industrial Goods sector, categorized under the Diversified Machinery industry.
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