said on Tuesday that its second-quarter and full-year results will be above previous guidance as its major home appliance business beat expectations for April and May.
The company now expects second-quarter pro forma earnings of 85 cents a share, up from 32 cents a share in the year-ago quarter and ahead of previous guidance of 75 cents. Analysts polled by Thomson Financial/First Call had been expecting 72 cents.
In a press release, Maytag said, "During April and May, our results were better than anticipated. Our major appliance business is executing well, and we've experienced increased revenues and a favorable mix of higher margin products." The company added that it has seem some market share erosion as it shifts focus to more expensive products.
Maytag said that, in addition to its better sales and margin improvements, it has instituted new cost control initiatives that will boost results.
For the full year, Maytag now sees sales up 15% over 2001 and earnings per share of $3.10, up from $1.77 a year ago. The company's previous forecast called for EPS of $2.80, while Wall Street had been looking for $2.82.
Shares of Maytag closed at $42.30 Tuesday before the new outlook.