Parker Hannifin Lowers Fiscal 2016 Guidance

(RTTNews) - Parker Hannifin Corp. (PH) announced that its fiscal 2016 guidance is adjusted for expected business realignment expenses of approximately $0.50 per share, of which $0.30 per share related to the Simplification initiatives. For the fiscal year ending June 30, 2016, the company has revised guidance for earnings from continuing operations to the range of $5.30 to $5.90 per share, or $5.80 to $6.40 per share on an adjusted basis.

In August, the company projected earnings from continuing operations in the range of $6.15 to $6.85 per share, or $6.65 to $7.35 per share on an adjusted basis for the fiscal year ending June 30, 2016.

The company's CEO, Tom Williams, said: "The change in our guidance largely reflects continued weakening in our end markets as evidenced by deteriorating order trends. We also do not expect any meaningful recovery in our markets through the end of our fiscal year. Aggressive actions are well underway to align our costs with the realities of current conditions."

Fiscal 2016 first quarter earnings per share were $1.41, compared to $1.85 in the prior year quarter. Adjusted earnings per share were $1.52, for the quarter.

On average, 17 analysts polled by Thomson Reuters expected the company to report profit per share of $1.46 for the quarter. Analysts' estimates typically exclude special items.

First quarter sales were $2.87 billion, compared with $3.27 billion in the prior year quarter. Analysts expected revenue of $2.94 billion for the quarter.