Esterline Technologies Q2 Profit Down - Update

(RTTNews) - Esterline Technologies Corp. (ESL), an engineered products maker for aerospace and defense customers, Thursday reported a drop in profit for the second quarter, as revenues declined, margins dropped and expenses increased.

Bellevue, Washington-based Esterline's second-quarter profit dropped to $19.8 million or $0.63 per share from $36.9 million or $1.14 per share last year.

Excluding one-time items, adjusted earnings for the quarter were $37.9 million or $1.20 per share, down from $44.8 million or $1.38 per share last year.

On average, 9 analysts polled by Thomson Reuters estimated earnings of $1.33 per share for the quarter. Analysts' estimates typically exclude special items.

Revenues for the second quarter dropped 2.1 percent to $500.1 million from $510.9 million last year. Analysts had a consensus revenue estimate of $534.7 million for the quarter.

Gross margin for the second quarter dropped to 32.7 percent from 35.1 percent last year, while expenses increased to $128.7 million from $119.6 million last year.

For the 11-month fiscal year ending on October 2, 2015, the company now expect adjusted earnings of $4.55 to $4.80 per share on revenues of $1.83 billion to $1.88 billion. Earlier, Esterline expected earnings of $5.35 to $5.75 per share on revenues of $1.85 billion to $1.95 billion.

ESL closed Thursday's trading at $107.01, down $1.66 or 1.53%, on the NYSE. The stock further dropped $4.51 or 4.21% in the after-hours trading.