CLEVELAND (AP) — Parker-Hannifin, which makes industrial hoses, airplane wheels and other products, said Friday that its fiscal first-quarter net income declined 19 percent as it dealt with continued softness in North America and overseas.
The Cleveland-based company also cut its full-year earnings forecast due to uncertain economic conditions.
Its stock tumbled more than 7 percent in premarket trading
For the period ended Sept. 30, Parker-Hannifin Corp. earned $239.7 million, or $1.57 per share, down from $297 million, or $1.91 per share, a year ago.
Analysts forecast earnings of $1.72 per share, according to a FactSet poll.
Revenue dipped 1 percent to $3.21 billion from $3.23 billion. Wall Street expected $3.22 billion.
Sales dropped for the industrial international and climate and industrial controls segments. Orders fell 6 percent, with orders declining for both the industrial North America and industrial international divisions.
Parker-Hannifin now anticipates full-year earnings from continuing operations of $6.15 to $6.75 per share. It previously predicted results between $7.10 and $7.90 per share.
Analysts expect earnings of $7.48 per share.
Its shares dropped $6.32, or 7.4 percent, to $78.75 in premarket trading. At that level, they are 12 percent above their 52-week low of $70.42 set in mid-July. They traded as high as $91.47 in late February.
On Wednesday Parker-Hannifin announced that it has agreed to buy Sea Recovery from Denmark's Danfoss A/S. Financial terms were not disclosed.