Lincoln Electric Holdings Earnings: Everything You Must Know Now

Lincoln Electric Holdings Inc. (NASDAQ:LECO) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

Lincoln Electric Holdings Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 1.25% to $0.79 in the quarter versus EPS of $0.68 in the year-earlier quarter.

Revenue: Decreased 1.43% to $684.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Lincoln Electric Holdings Inc. reported adjusted EPS income of $0.79 per share. By that measure, the company beat the mean analyst estimate of $0. It missed the average revenue estimate of $689.62 million.

Quoting Management: “Tennessee Rand strengthens our already strong position as a market leader in welding automation in North America,” said Christopher L. Mapes, Chief Executive Officer. “Tennessee Rand brings extensive tool design, system building, and machining capabilities that will enable Lincoln to further expand its welding automation business. It is a nice complement to our recent acquisition of Wayne Trail Technologies.”
“Lincoln’s market strength and worldwide reach enable Tennessee Rand to expand its business and support customers with global deployment strategies,” said Don Peters, President of Tennessee Rand. “We are pleased to now be a part of Lincoln Electric.”

Key Stats (on next page)…

Revenue decreased 1.86% from $697.55 million in the previous quarter. EPS decreased 1.25% from $0.80 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 $0.82 to a loss $0. For the current year, the average estimate has moved down from a profit of $3.1 to a loss of $0 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)