A.O. Smith reports record quarterly net earnings
With strong sales of commercial and residential products, A.O. Smith Corp. on Wednesday reported a nearly 13% increase in its recentquarter profit.
The Milwaukee-based maker of water heaters and boilers said it had record net earnings of $93.7 million, or 54 cents per share, in its third fiscal quarter ended Sept. 30, up from $83.2 million, or 47 cents per share, a year earlier.
The company’s sales in the recent quarter increased nearly 10% to $749.9 million.
“We saw double-digit sales growth in the third quarter due to strong demand for our Lochinvar branded boilers and mid-single digit growth in residential water heater volumes in the U.S.,” Chairman and CEO Ajita Rajendra said in a statement. “Sales of our consumer products in China, particularly water treatment and air purification, contributed to our growth, as well.”
The results exceeded Wall Street expectations. The average estimate of eight analysts surveyed by Zacks Investment Research was for earnings of 53 cents per share.
Eight analysts surveyed by Zacks expected $742 million in revenue.
A.O. Smith said it expects full-year earnings in the range of $2.12 to $2.14 per share.
The company’s shares have risen 31% since the beginning of the year. The stock has risen 28% in the last 12 months.