Donaldson Cuts Outlook After Earnings Report

MINNEAPOLIS (AP) — Donaldson Co. Inc., which makes filtration systems, on Tuesday again lowered its full-year profit guidance and forecast sales below current Wall Street expectations, sending shares tumbling in after-hours trading.

The company said it now expects to earn between $1.55 and $1.70 per share in the fiscal year ending in July, including $21 million to $23 million in restructuring costs. Sales will be down 15 to 20 percent, coming in at between $1.8 billion and $1.9 billion.

Analysts, who typically exclude one-time costs from their forecasts, expect the company to earn $1.72 per share on sales of $1.93 billion, according to a survey by Thomson Reuters.

In February, the Minneapolis-based company lowered its full-year earnings projections to $1.70 to $1.90 per share from a previous outlook of $2.16 to $2.36 per share.

Donaldson, made the latest comments Tuesday after reporting that profit in the fiscal third quarter that ended in April fell 42 percent on a drop in sales. Because of the lower sales, the company said it is considering restructuring moves that could add $10 million to $12 million in costs to July-quarter results.