Fortune Brands’ Q2 Financial Results Show Door Growth

July 23rd, 2015 by Casey Flores

Fortune Brands came out with its second quarter 2015 results and with a positive uptick in sales, and as a result updated outlook for this year’s earnings per share.

“The rate of growth for the home products market improved modestly in the second quarter and our teams again delivered profit growth that was right on plan,” says Chris Klein, CEO. “We continue to anticipate accelerating new construction activity in the second half of the year. Based on that market assumption and our solid execution, we are maintaining our expectations for our core business for the remainder of 2015.”

For the second quarter of 2015, sales were $1.17 billion, an increase of 13 percent over the second quarter of 2014. Earnings per share (EPS) were $0.48, compared to $0.51 in the prior-year quarter. EPS before charges/gains were $0.59, compared to $0.51 the same quarter last year. Operating income was $128.2 million, compared to $125.5 million in the prior-year quarter. Operating income before charges/gains was $150.5 million, compared to $125.6 million the same quarter last year.

“In the second quarter, sales increased 13 percent for the total company and 17 percent for the U.S. businesses. Importantly, operating income before charges/gains grew 20 percent, with solid performance across all operating segments,” Klein says.

Specifically, door sales were up 6 percent “with growth in both the wholesale and retail channels,” a company statement says.

With increased sales, the company updated its expectations for 2015 EPS before charges/gains to be in the range of $2.03 to $2.10, which compares to 2014 EPS before charges/gains of $1.74.

“The second quarter home products market improved modestly, as we had planned,” says Klein. “We continue to see positive signs and look for stronger market growth in the second half of the year.”

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