Donaldson Updates FY16 Earnings Outlook - Quick Facts

(RTTNews) - Donaldson Company, Inc. (DCI) announced the company now expects fiscal 2016 adjusted EPS of $1.53 to $1.59. In March, Donaldson projected its 2016 EPS to be in a range of $1.51 - $1.61. The company noted that the midpoint of the new guidance range is consistent with prior guidance. Full-year GAAP EPS is now expected to be approximately 9 cents lower than adjusted EPS, reflecting the year-to-date impact from restructuring charges and investigation-related costs.

Donaldson's full-year 2016 guidance reflects sales of approximately $2.225 billion, or about 6 percent below last year, consistent with the midpoint of the prior guidance range. Excluding a negative impact from currency translation of approximately $80 million, sales in local currencies are expected to decline approximately 3 percent, compared with prior guidance of a year-over-year decline between 1 percent and 3 percent. In March, the company projected its full year revenue in a range of $2.20 - $2.25 billion.

Analysts polled by Thomson Reuters expect the company to report profit per share of $1.51 on revenue of $2.21 billion. Analysts' estimates typically exclude special items.

Donaldson reported third-quarter net earnings of $54.8 million, or $0.41 per share, compared with $47.8 million, or $0.34 per share, in 2015. Third quarter 2016 adjusted EPS was $0.43, compared with $0.37 last year.

Third-quarter sales declined 0.7 percent to $571.3 million from $575.6 million in 2015. Foreign currency translation negatively affected third quarter 2016 sales by 1.0 percent. Excluding the impact from currency translation, third quarter 2016 sales increased 0.2 percent from last year.