Toro's stock price edged up more than 3% to $74.41 at the open after the company reported quarterly adjusted earnings of $89.8 million, or 83 cents a share, beating the 74 cents a share predicted by analysts surveyed by Zacks Investment Research.
The Bloomington, Minn.-based company's quarterly earnings represented a 22.1% gain over the same period last year, when they rang in at $73.5 million, or 68 cents a share, the company said in its quarterly earnings report.
Sales increased 27.9%, to $838.7 million, according to Toro's report.
Richard M. Olson, chairman and CEO, said in a statement that a major factor behind the big jump in quarterly sales was the company's acquisition of Charles Machine Works.
In February, Toro shelled out $700 million in cash to acquire the Perry, Okla.-based company, known for its Ditch Witch brand of underground construction equipment, including horizontal directional drills, vacuum excavators, utility loaders and walk and ride trenchers.
"Third-quarter revenue growth was driven by the addition of the Charles Machine Works portfolio as integration continues to progress as planned," Olson said. "The entire team has been collaboratively working to optimize the combined enterprise."
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