Toro Company falls on grim annual forecasts

Toro Co

08/06/2023 14:22

** Shares of lawn care equipment maker Toro Company  TTC.N 
down 4.43% at $96.33 premarket
    ** Company cuts top end of annual sales and profit forecasts
as demand in the residential segment takes a hit
    ** TORO now expects annual sales to grow between 7% and 8%
vs 7%-10% growth forecast previously; adjusted EPS is projected
to be between $4.70 and $4.80 vs earlier view of $4.70-$4.90
    ** "For the residential segment, we expect sales volume in
the second half to be challenged by macroeconomic uncertainty
and consumer spending patterns, and to also reflect the impact
of the unfavorable weather year to date" - company
    ** Toro's Q2 revenue of $1.33 bln misses analysts' avg. est.
of $1.43 bln - Refinitiv
    ** Q2 adj. EPS of $1.58 beat analysts' est. of $1.52
    ** Residential segment net sales for Q2 down 16.8% over the
year earlier, primarily driven by lower product shipments,
partially offset by net price realization
    ** Up to Wednesday's close, stock down 7.54% YTD

 (Reporting by Juveria Tabassum in Bengaluru)
 ((Juveria.Tabassum@thomsonreuters.com;))