Ingersoll-Rand Q2 Profit Dips, But Adjusted EPS and Revenues Beat Estimates; Guides Q3 & 2013 In-Line (IR)

Ingersoll-Rand Q2 Profit Dips, But Adjusted EPS and Revenues Beat Estimates; Guides Q3 & 2013 In-Line (IR)


Climate control and security products manufacturer Ingersoll-Rand plc (IR) reported early on Friday that its second quarter profits declined 13% year-over-year despite a 3% rise in total revenues. Even though the company saw a drop in profits, adjusted earnings and revenues were able to beat Wall Street estimates.

The Dublin, Ireland-based company posted a second quarter net income of $317.2 million, or $1.05 per share, down 13% from $365.8 million,or $1.16 per share, earned in the second quarter of 2012. Ingersoll-Rand’s profit per share from continuing operations declined to $1.03 from $1.14.

The company’s second quarter adjusted net income from continuing operations was $1.14 per share. On average, analysts polled by Thompson Reuters were expecting the company to post an adjusted profit of $1.08 per share in the quarter.

Quarterly revenues rose 3% to $3.93 billion from $3.82 million last year. Analysts were expecting total second quarter revenues to be $3.88 billion.

Ingersoll-Rand said total U.S. revenues rose 4% year-over-year, while total international revenues rose 1%.

Looking ahead, the company said it expects third quarter revenues to be between $3.65 billion and $3.75 billion. IR also expects adjusted earnings per share from continuing to be in the range of $1.07 and $1.12, with reported profits per share coming in between 82 cents and 87 cents. According to analysts, Ingersoll-Rand is expected to earn $1.10 per share on revenues of $3.76 billion in the third quarter.

For the full-year 2013, the company expects adjusted earnings from continuing operations to come in between $3.50 and $3.60 per share on revenues between $14.2 billion and $14.4 billion. Reported earnings per share is expected to be between $2.75 and $2.95. Analysts are expecting IR to see earnings of $3.58 per share on revenues of $14.40 billion for 2013.

Ingersoll-Rand shares were inactive during pre-market trading on Friday. The stock is up 24.94% year-to-date.

The Bottom Line
Shares of Ingersoll-Rand (IR) have a dividend yield of 1.40% based on last night’s closing price of $59.92 and the company’s annualized dividend payout of 84 cents per share.

Ingersoll-Rand plc (IR) is not recommended at this time, holding a DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Free Updates

Join over 100,000 investors who get the latest news from

Best Dividend Stocks

Looking for stocks that are poised for growth and pay solid dividends? Visit our list of the:

Best Dividend Stocks

Partner Center

Best CD Rates

Sitting on some extra cash and looking for the most current and profitable CD Rates?

Get The Best CD Rates

14 Day Free Trial

Earn more from your dividend portfolio within the next 14 days.

Sign Up Today