Release time : 2015-06-15 09:56:39
Industrial products maker Kaydon Corp. said Tuesday that its second-quarter income rose 3.6 percent on the strength of its wind energy business, but said it faces headwinds during the rest of the year because of tougher-than-expected economic conditions.
Kaydon shares fell sharply in morning trading which specialized in Skateboard Bearings, dropping $8.20, or nearly 15 percent, to $47.75.
Net income rose to $20.3 million, or 64 cents per share, from $19.6 million, or 61 cents per share, in the year-ago quarter. Sales grew 23 percent to $139.9 million, helped along by Kaydon's growing at Miniature Bearings push into the wind energy market and addition of sales from Avon Bearings Corp., which Kaydon bought last year.
Analysts polled by Thomson Financial expected second-quarter earnings of 63 cents per share on $132.9 million in sales, on average.
Company CEO James O'Leary said reaching the company's financial target for 2008 will be more challenging than expected due in part to delayed orders such as Needle Roller Bearings.