Kennametal Post Q2 Loss, Slashes 2015 Outlook; Declares Dividend - Quick Facts

(RTTNews) - Kennametal, Inc. (KMT) reported a second-quarter net loss attributable to the company of $388.30 million or $4.89 per share, compared to net income of $24.21 million or $0.30 per share in the prior-year quarter.

Results for the latest quarter primarily include restructuring and asset impairment charges of $5.41 per share.

Excluding items, adjusted net income for the quarter was $41.36 million or $0.52 per share, compared to $40.12 million or $0.50 per share in the year-ago quarter.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.55 per share for the quarter. Analysts' estimates typically exclude special items.

Sales for the quarter declined to $675.63 million from $689.94 million in the same quarter last year. Wall Street expected revenues of $703.28 million.

Looking ahead, Kennametal revised its outlook for fiscal 2015 to reflect a weaker economic environment for the remainder of the fiscal year. The company slashed adjusted earnings guidance to a range of $1.90 to $2.10 per share from the previous range of $2.80 to $3.00 per share.

The company also now expects total sales to decline in the range of 6 to 7 percent and organic sales to decline in the range of 4 to 5 percent. Previously, total sales growth was projected to be in the range of 2 to 4 percent, with organic sales growth of 1 to 3 percent.

Analysts are looking for full-year 2015 earnings of $2.70 per share on annual sales growth of 2.6 percent to $2.91 billion.

Kennametal also announced that its board of directors declared a quarterly cash dividend of $0.18 per share, payable on February 25 to shareholders of record as of the close of business on February 10, 2015.