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Buhler Industries Reports 3rd Quarter Earnings

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Buhler Industries Reports 3rd Quarter Earnings

Canada NewsWire

(TSX:BUI)

WINNIPEG, Aug. 14, 2018 /CNW/ -

Sales
Revenue for the quarter was $90.8 million, down $0.6 million from the prior year third quarter. Revenue for the first nine months of 2018 was $222.3 million, up $4.3 million from 2017. The sales levels for the Company continue to be hampered by weak commodity prices. Sales to Eastern Europe have remained steady, while orders in North America remain below historical levels.          

3rd quarter ending


9 months ending

June 30, 2018


Year Ago


June 30, 2018


Year Ago

Revenue (millions)

$90.8

$91.4


Revenues (millions)

$222.3

$218.0

Net profit (millions)

($2.9)

$2.6


Net profit (millions)

($15.2)

($0.1)

Net profit/share

($0.12)

$0.10


Net profit/share

($0.61)

($0.00)

Shares issued (millions)

25.0

25.0


Shares Issued (millions)

25.0

25.0

 

Net Earnings
Net earnings of ($2.9) million was down from $2.6 million for the same quarter of 2017. For the year to date, the net earnings was ($15.2) million, down from a loss of ($0.1) million in the prior year. The Company saw reduced margins, increased interest expenses and research and development spending, as well as gains on sale that occurred in the prior year that was not repeated in the current year. Furthermore, in the current year the Company had a $5.8 million write down in tax assets due to a major reduction of the corporate tax rate in the United States during the first quarter. While this write down has created a non-cash loss in the year, the Company expects the rate reduction to be beneficial in future periods as the tax payments in profitable periods will be reduced.

Looking Forward
Sales for 2018 are expected to decrease compared with 2017 results. While the demand for agricultural equipment is slowly improving, dealer inventory of new and used tractors remains high and needs to be cleared out. Profit margins are expected to decrease as inventory is reduced.

Complete financial statement: http://www.buhlerindustries.com/investors/reports/buhler-2018-q3.pdf

Trading symbol: BUI

SOURCE Buhler Industries Inc.

View original content: http://www.newswire.ca/en/releases/archive/August2018/14/c1353.html

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