Johnson Controls Earnings: Uncertainty Clouds Earnings Outlook

Johnson Controls Inc. (NYSE:JCI) saw its profit drop relative to the same quarter a year ago on stagnant revenue. Investors were dealt a dose of cautious news in the latest quarterly report from the CEO about the near-term outlook. Shares are down 3%.

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Johnson Controls Inc. Earnings Cheat Sheet

Results: Net income decreased -13.66% to $354 million (52 cents per diluted share) in the quarter versus a net gain of $410 million in the year-earlier quarter.

Revenue: Remained flat at $10.42 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Johnson Controls Inc. reported adjusted net income of 52 cents per share. By that measure, the company beat the mean analyst estimate of $0.51. It beat the average revenue estimate of $10.26 billion.

Quoting Management:Uncertainties remain in our global markets, and we expect earnings in the first half of fiscal 2013 to be significantly lower than 2012, consistent with our earlier forecast. We continue to have confidence in our full-year guidance for higher revenues and earnings in fiscal 2013,” said Stephen A. Roell, Chairman and CEO of Johnson Controls…

“The long-term growth opportunities for our businesses are intact. We believe we have the right strategies and investments in place to outperform in our industries as the markets improve.”

Key Stats:

Revenue increased 0.27% from $10.39 billion in the previous quarter. Net income increased 911.43% from $35 million in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.63 to a profit $0.51. For the current year, the average estimate has moved down from a profit of $2.9 to a profit of $2.62 over the last ninety days.

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(Company fundamentals provided by Xignite Financials.)