Wisconsin-based crane supplier
warned Thursday that it expects second-quarter earnings to come in well below analysts' consensus estimate, citing increased pricing pressure.
The company also said it will take a $15 million to $20 million charge for consolidation and restructuring, which includes job cuts in the U.S. and Europe and at least one plant closing.
The company now expects to earn 30 cents to 35 cents a share, excluding charges, in the quarter, compared with analysts' estimates of 56 cents a share. Manitowoc earned 81 cents a share in the year-ago quarter. The company also said the lower quarterly results reflect the effects of a strike at a shipbuilding site and construction deferrals by customers.
For the full year, Manitowoc expects to earn 80 cents to $1 a share; analysts expect the company to earn $1.48 a share, on average. The company earned $1.91 a share last year.
The company also said it should generate $100 million in free cash flow by the end of the year, enabling it to reduce debt by at least $60 million. Shares of Manitowoc were losing $1.88, or 8.7%, to $19.82 on the
New York Stock Exchange