Whirlpool Results Dragged Down on Weakness Abroad

Whirlpool Corp. reported revenue and profit declines as weakness abroad offset gains in the U.S.

The Benton Harbor, Mich.-based company said a stronger dollar, which makes its appliances more expensive abroad, cut into revenue. It also has been hamstrung by falling demand in some emerging markets.

Sales slid 22% to $705 million in Latin America during the quarter, thanks to currency effects and weak demand in Brazil. Excluding currency fluctuations, sales decreased 4%. Whirlpool expects shipments in Brazil to decrease by 10% for the year as the country faces economic and political crisis.

For the quarter, the company reported earnings of $150 million, or $1.92 a share, down from $191 million, or $2.38 a share, in same quarter the year before. Its ongoing operating profit rose to $2.63 a share from $2.14 a year before.

Sales slid 4.7% to $4.62 billion.

Analysts polled by Thomson Reuters expected adjusted earnings per share of $2.68 on revenue of $4.69.

Sales in North America increased 2.9% to $2.41 billion while sales in Europe, Middle East and Africa decreased 7.9% to $1.17 billion. In Asia, sales decreased 1.9%, but grew 3% on a constant-currency basis due to volume growth.

Shares in the company, up 39% in the past three months, were inactive in premarket trading.

Last week, Whirlpool authorized a $1 billion share-repurchasing program and increased its quarterly dividend to $1 per share from 90 cents.

Write to Austen Hufford at [e-mail]

(END) Dow Jones Newswires

April 26, 2016 07:55 ET (11:55 GMT)

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