Carlisle Cos. reports lower profits in 1Q
04/22/2014 1:55 PM
04/22/2014 1:57 PM
Ballantyne-based Carlisle Cos. on Tuesday reported lower profit in the first quarter compared with the same period last year, as it recorded higher income tax expenses and was hurt by harsh winter weather in the U.S.
The company’s four business lines all posted higher sales: construction materials, interconnect technologies, brake and friction and food service products.
But profit fell 35 percent to $35.8 million from $55.2 million a year ago after a $13 million overseas tax benefit in the first quarter of 2013 did not repeat.
Carlisle, which does business in markets around the world, reported sales of $650.4 million versus $629.6 million a year ago. Company officials suggested Tuesday that revenues could have been higher, saying winter weather hurt U.S. sales.
In the U.S., sales declined primarily in the Northeast within Carlisle’s construction materials segment, which makes commercial roofing products. The winter weather also hurt sales in the company’s food service products segment, which provides dishes, cookware and other supplies to restaurants and hospital.
The company still beat analysts’ expectations. For the quarter, Carlise posted earnings per share of 56 cents. On average, analysts were expecting 52 cents a share. A year ago, the company earned 85 cents a share.
“We had a good quarter, especially considering the impact of weather in January and February,” chief executive David Roberts told analysts during a conference call.
This time last year, the company had five business segments. It sold its transportation products segment for $375 million in December because of disappointing results in that business line.
Carlisle’s interconnect technologies sector makes cable and wires for aircraft, including the Boeing 787. Carlisle said it is building a 190,000-square-foot plant in Nogales, Mexico, to handle growing demand from the aerospace sector. The plant is expected to be finished this year.
Carlisle’s brake and friction segment sells systems used mostly by the mining, construction and agricultural industries.
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