Whirlpool Reaffirms Its Full Year Earnings Outlook post Brexit

Whirlpool Corporation

admitted that Brexit created several uncertainties. However, it does not see any immediate threat to its financial outlook. As a result, the company reaffirmed its full year earnings forecast for the year 2016. Whirlpool said that its current environment and strength of other parts of its global operations enable it to reaffirm its full-year 2016 outlook of GAAP earnings of $11.25 - $12.00 per share. On an adjusted basis, the company reaffirmed its ongoing earnings of $14.00 to $14.75 per share. The Street analysts are looking for earnings of $14.75 a share. The Company also indicated that it expects to generate cash of $1.4 - $1.55 billion from operating activities and free cash flow of $700 - $800 million for the full year 2016. Its chairman and CEO, Jeff Fettig, commented, "Clearly the "Brexit" vote has created a number of uncertainties, many that will take some time to play out. The U.K. is an important country for us and we plan to continue delivering innovative new products in the U.K. and Europe." He continued to add that "As we have done in the past in all markets, we are prepared to take swift actions to offset the negative impact to our EMEA operations. We will continue to monitor the situation closely to determine if additional actions may be required." Whirlpool indicated that its business in the United Kingdom accounted for about 5% of its global revenues in the 2015 fiscal year. Most of its products sold in the Britain were produced in other European nations. On Monday, the stock shed 4.99 percent.