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Whirlpool shares dip after profit beats expectations but sales drop

Published 24/07/2023, 22:08
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Investing.com -- Whirlpool Corporation (NYSE:WHR) beat expectations for earnings but quarterly sales dropped from last year because of promotional activity.

The company reaffirmed its 2023 guidance.

Shares were falling 2.1% in after-hours trading but are up 6.6% this year.

Earnings per share of $4.21 beat the consensus for $3.73 a share. Revenue was down 6% from the same time last year, to $4.79 billion. Analysts had forecast $4.81B in sales. 

Part of the reason for the sales drop from last year was the comparatively lower promotional activity in 2022, the company said. That activity has returned to more normalized pre-pandemic levels. Sales rose 3.1% from the first quarter.

The company still sees adjusted earnings per share for 2023 of $16 to $18 and revenue of $19.4B, slightly ahead of expectations.

CEO Marc Bitzer said: “Our portfolio transformation towards a higher-growth, higher margin business is well underway, and we are well-positioned to benefit from housing-driven demand recovery, including now having 8 of the top 10 national builders as trade customers."

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