lowered its second-quarter earnings outlook, citing falling sales of aluminum-airbag parts.
The maker of car and building products said it now expects to earn 55 cents to 60 cents a share, compared with 70 cents a share in the second quarter of 2002. Quanex had previously said earnings would be 10% higher than the previous year's quarter. Analysts expect the company to earn 80 cents a share.
The company said its aluminum business is likely to report lower operating income, despite slightly higher volumes and improved spreads compared with last year. Specifically, Quanex said value-added painted sheet sales at its Alabama facility are lower because the facility has had productivity issues after an upgrade of its automated paint line.
The Houston-based company will report results on May 29. Shares were down 4.92% at $31.29 in late trading.