Whirlpool Earnings: Here’s Why Investors are Selling Shares Now

Whirlpool Corp. (NYSE:WHR) 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. Shares are down 0.82%.

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Whirlpool Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 39.72% to $1.97 in the quarter versus EPS of $1.41 in the year-earlier quarter.

Revenue: Decreased 2.32% to $4.25 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Whirlpool Corp. reported adjusted EPS income of $1.97 per share. By that measure, the company beat the mean analyst estimate of $1.93. It missed the average revenue estimate of $4.39 billion.

Quoting Management: “The first-quarter results were in line with our expectations and continue to reflect our actions to expand margins, marking the fifth consecutive quarter of year-over-year operating margin improvement,” said Jeff M. Fettig, chairman and chief executive officer of Whirlpool Corporation. “We expect to see moderately higher revenue growth, due to continued strength in U.S. housing and improving demand trends internationally, and we are on track to deliver our operating profit margin, earnings and free cash flow guidance for the year.”

Key Stats (on next page)…

Revenue decreased 11.28% from $4.79 billion in the previous quarter. EPS decreased 13.97% from $2.29 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $2.17 and has not changed. For the current year, the average estimate has moved up from a profit of $9.21 to a profit of $9.64 over the last ninety days.

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