PARSIPPANY, N.J. (AP) â¿¿ Aerospace and defense supplier Curtiss-Wright Corp. cut its second-quarter outlook Thursday, citing restructuring costs and unanticipated expenses in China, and its shares fell.
The company said the costs of a planned restructuring of its metal treatment segment started coming in earlier than expected. For that restructuring, it now anticipates recording $5 million in non-cash charges in its second quarter and most of $7.4 million in remaining costs its fourth-quarter, whereas it had anticipated recording more of the costs to occur in the fourth quarter. It said restructuring this business improves the company's prospects for growth and long-term profitability.
The investments in China, which will cover labor and other items related to a new type of pump for nuclear reactors, also will take a toll on Curtiss-Wright's second-quarter and full-year results.
The company now expects earnings of 44 cents to 48 cents per share from continuing operations for its second quarter, down from 60 cents to 64 cents per share. For the year, it expects earnings from continuing operations of $2.50 to $2.60 per share, down from $2.58 to $2.68 per share.Curtiss-Wright expects to report its second-quarter financial results after the markets close Aug. 2. Shares of the company, based in Parsippany, N.J., fell 98 cents, or 3.2 percent, to $29.68 by midday.
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