Gehl falls on weak Q2 results, lowered full-year outlook

Gehl Company (Nasdaq:GEHL) is off 10% today after cutting its 2008 outlook and reporting weaker second-quarter earnings ahead of the opening. For the quarter ended June 30, the company reported net income from continuing operations of $5.2 million, or $0.43 per share, compared with $8.8 million, or $0.71 per share, for the same period a year ago. The West Bend, Wis.-based company said its full-year outlook is now for net sales of $390 million to $410 million and earnings per share of $0.85 to $1.05. Wall Street is expecting earnings per share of $1.08 on revenues of $412 million.

“While weakness in the U.S. residential construction market provided headwinds to our business in the first half of the year, the Company maintained positive operating results, which reflects our diverse markets and effective cost savings initiatives,” said William D. Gehl, chairman and CEO in a statement. “As we work through these near-term challenges, the Company will continue to position itself for long-term growth as evidenced by several efforts undertaken this year, including expanding our presence in international markets, broadening our product offering with the successful launch of new products and continuing to drive our performance in the markets we serve.”

In today’s trading, shares are at $13.51 at 9:38 a.m. ET, down $1.48 from Friday’s close. Shares have ranged from $11.17 to $29.94 during the past year.

For access to the full article, you must be a registered member - it's FREE.

Already a member? Please log in below