Shares in Brunswick Corporation (NYSE:BC) dropped 6.1% in early Wednesday premarket trading after the company reported preliminary Q2 results.
Brunswick sees adjusted EPS in the range of $2.30-$2.35 on revenue of about $1.7 billion. Analysts were looking for adjusted EPS of $2.68 on revenue of $1.84B.
The company said its Q2 results “are below initial expectations for the quarter due solely to the impacts of the recent IT security incident that was disclosed in June, absent which, the Company believes it would have met or exceeded the Adjusted EPS guidance previously provided for the second quarter.”
“The second quarter financial impact of the production and distribution disruption was felt almost entirely within our Propulsion and Engine P&A segments and, while our facilities and systems are now fully operational, because of the proximity of the disruption to the end of the quarter, there was limited opportunity to recover in the period,” said Dave Foulkes, Brunswick Corporation CEO.
“As we look to the balance of the year, we see opportunity to recover some of the losses but the lost production of high horsepower outboard engines will be difficult to compensate because we plan to be in full production for the balance of the year with limited ability to overdrive.”
BC is due to report full Q2 results on July 27.