Thermon Group & Modine Manufacturing Reported Higher Profit (THR, MOD)
Thermon Group Holdings Inc (NYSE:THR) gapped down on Friday despite reporting higher than estimated fourth quarter earnings boosted by solid revenue.
The company said that net income during the quarter came in at $6.25 million or $0.20 per share, reversing a year ago loss of $3.98 million or $0.16 a share. On an adjusted basis, the company would have earned 21 cents a share, topping analysts’ estimates by 2 cents.
Revenue during the quarter soared 15% year over year to $69.04 million from $59.84 million a year earlier, again ahead of analysts’ estimates of $66.69 million.
The company noted that it experienced order growth during the quarter in both hemispheres with Western increasing 64 percent and Eastern increasing 31 percent. Gross margin improved to 49.9%, from 48.5%, a year ago period.
Backlog jumped 54% year over year to $117.7 million.
Shares of THR slid 4.43% to $19.41 in the opening session. The stock is up over 10% so far this year and soared over 58% over the past one year.
Modine Manufacturing Co. (NYSE:MOD) also fell in early despite the company’s fourth-quarter earnings came ahead of the Wall Street estimates.
The company posted profit of $16.17 million or $0.34 per share, up from a year ago profit of $11.97 million or $0.25 per share and topped analysts’ estimates by 11 cents.
Quarterly revenue fell to $388.72 million from $396.76 million in the prior-year quarter, missing analysts’ target of $406.38 million. Excluding the impact of foreign currency translation, net sales increased 0.2 percent from the prior year.
Going forward, the company provided expectations for fiscal 2013, excluding European restructuring. The company projects to earn $0.60 to $0.70 in the next fiscal year. Year-over-year sales are expected to be down 5 to 10%, including approximately $80 million of planned program reductions. Analysts expect the company to earn $1.14 per share for the year.
Share of MOD fell 4% to $6.22.