Briggs & Stratton Posts Wider-than-expected Q1 Loss; Backs FY14 Forecast

(RTTNews) - Briggs & Stratton Corp. (BGG), a maker of air-cooled gasoline engines for outdoor power equipment, reported Thursday a wider-than-expected net loss in its first quarter, despite higher net sales. The company, however, backed its fiscal 2014 earnings view.

The first-quarter consolidated net loss was $19.3 million or $0.41 per share, compared to last year's loss of $16.5 million or $0.35 per share. The results included restructuring charges.

Adjusted net loss, which excluded charges, were $16.5 million or $0.35 per share.

Consolidated net sales grew 3 percent to $317.30 million from last year's $309.02 million, driven by sales increases in engines and lawn and garden products, partially offset by lower sales of portable generators.

On average, four analysts polled by Thomson Reuters expected a loss of $0.29 per share on revenues of $307.93 million. Analysts' estimates typically excludes special items.

The company noted the higher North American consumer engine shipments and sales of equipment to dealers increased as consumer demand rebounds from last year's drought.

Todd Teske, Chairman, President and Chief Executive Officer, said, "Our first quarter results were slightly better than we anticipated as we experienced increased consumer demand for lawn and garden equipment leading to higher shipments of engines that power these products and higher shipments of lawn and garden products to our dealers."

Looking ahead, for fiscal 2014, the company reaffirmed its guidance of net income to be in a range of $50 million to $62 million or $1.04 to $1.28 per share, before items.

Fiscal 2014 consolidated net sales are projected to be in a range of $1.88 billion to $2.03 billion.

Analysts expect earnings of $1.14 per share on sales of $1.92 billion for the year.