UK's Pentair forecasts first-quarter profit below estimates on soft pool demand

Pentair

30/01/2024 13:00

Jan 30 (Reuters) - UK-based water technology company
Pentair  PNT.F  forecast first-quarter revenue below estimates
on Tuesday due to softer demand for new pools and related
services. 
    Consumers in the United States are cutting back spending on
discretionary items amid high borrowing costs, impacting
Pentair's pool business, which makes filters and pumps and
accounted for about 40% of net sales in 2022.
    The company's overall pool sales were down 2% in the fourth
quarter and 18% in 2023, compared to a year ago. 
    It expects first-quarter adjusted profit to be between 88
cents and 91 cents per share, compared with analysts' estimate
of $1 per share, according to LSEG data. 
    It also expects first-quarter sales to be down about 2% to
3%, compared to the previous year.
    Pentair reported adjusted profit per share of 87 cents in
the fourth quarter, beating analysts' average expectation of 86
cents per share, according to LSEG data.
    Sales for the quarter were $985 million, compared with
analysts' estimate of 975.7 million.

 (Reporting by Kannaki Deka in Bengaluru; Editing by Pooja
Desai)
 ((Kannaki.Deka@thomsonreuters.com))