PITTSBURGH (AP) â¿¿ Allegheny Technologies Inc. said Wednesday that second-quarter earnings fell 12 percent as the sluggish economy sapped demand for its specialty metals.
Profit and sales fell short of analysts' forecasts, and the company predicted that 2012 sales would also be below expectations.
Allegheny, which sells metals to companies in the aerospace, defense, energy and other industries, said it was hurt by slow growth in the U.S. and China and the ongoing financial crisis in Europe.
The company said it expects sales and earnings "to trough in the third quarter" because of the economy and seasonal slowdowns at suppliers.Allegheny thinks 2012 sales will range between $5.3 billion and $5.4 billion. Analysts expect $5.57 billion. In the second quarter, net income fell to $56.4 million, or 50 cents per share, from year-ago earnings of $64 million, or 59 cents per share. Revenue rose slightly to $1.36 billion from $1.35 billion. Analysts forecast 54 cents per share and $1.38 billion, according to FactSet. Allegheny shares fell 67 cents, or 2.3 percent, to close at $27.97.
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