2023-05-18 15:00:54 ET
Brady’s ( NYSE: BRC ) stock on Thursday rose as much as 5.2% after the maker of workplace safety equipment and supplies reported a better-than-forecast profit.
Net income for its fiscal Q3 rose 20% from a year earlier to $48.05 million, or $0.96 a share. EPS adjusted for one-time items of $0.95 beat average estimate among Wall Street analysts of $0.90.
Sales slipped 0.4% from a year earlier to $337.1 million in the quarter. Organic sales that strip out the effects of foreign exchange and a divestiture grew 1.9%.
The company raised its EPS guidance from a range of $3.23 to $3.43 for the full year to $3.32 to $3.47.
During a conference call with analysts to discuss results, management said global supply chains were getting back to normal after pandemic-related disruptions, but inflation was still high.
“Although shipping rates have come down and we’ve seen some incredibly high semiconductor costs moderate, we’re still experiencing inflation above pre-pandemic levels, which we expect to continue through the rest of this year,” Russell Shaller, president and CEO of Brady, said during the call . “Wage rates continue to increase at a greater rate than we…experienced before the pandemic and certain material costs continue to increase as well.”
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Brady’s stock rises after quarterly results beat estimates