Reuters logo
H.B. Fuller raises FY outlook, shares up 7 percent
June 26, 2012 / 10:57 AM / 5 years ago

H.B. Fuller raises FY outlook, shares up 7 percent

(Reuters) - Specialty chemicals maker H.B. Fuller Co (FUL.N) raised its full-year profit forecast citing cost savings from a recently acquired adhesives business, sending its stock up as much as 8 percent.

Shares of the company, which makes adhesives used in industries like construction and packaging, rose to $31.08, making them one of the top percentage gainers on the New York Stock Exchange, on Tuesday morning.

H.B. Fuller said on Monday it now expects to earn between $2.10 and $2.15 per share for 2012, compared with its prior forecast of $1.94 to $2.14 per share. It also forecast revenue between $1.93 billion and $1.98 billion.

Analysts on average had been expecting the company to earn $2.17 per share on revenue of $1.92 billion for the full year, according to Thomson Reuters I/B/E/S.

H.B. Fuller bought Swiss firm Forbo Holding AG’s (FORN.S) industrial adhesives business for $395 million last December to expand its presence in Europe.

The company forecast annual pre-tax profit improvement of $90 million on completing integration of the Forbo business.

H.B. Fuller reported a profit of $1.9 million, or 4 cents per share, for the second quarter, compared with $25.1 million, or 50 cents per share, a year earlier.

On an adjusted basis, the Saint Paul, Minnesota-based company earned 56 cents per share, just ahead of analyst expectations of 55 cents per share.

Revenue rose 43 percent to $527 million, in line with analysts’ estimates.

Reporting by Divya Lad in Bangalore; Editing by Joyjeet Das

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below