January 14, 2010 / 2:10 PM / 8 years ago

Briggs profit meets Street, sees drop in FY10 sales

(Reuters) - U.S. engine maker Briggs & Stratton Corp (BGG.N) reported a quarterly profit that was in line with Wall Street estimates, but forecast a 6 percent drop in 2010 consolidated sales.

The company sees lower sales primarily due to the absence of hurricane related sales of portable generators, selected price reductions to reflect projected lower commodity costs and lower engine shipments to Europe for lawn and garden applications.

Analysts expect full-year revenue of $1.97 billion.

“Production levels for substantially all products are planned to be lower in fiscal 2010 to decrease our investment in working capital,” the company said in a statement.

For the second quarter, Briggs & Stratton posted a net income of $3 million, or 6 cents a share, compared with $3.2 million, or 6 cents a share, a year ago.

Sales dropped almost 18 percent to $393.0 million.

    Analysts on average were expecting the company to earn 6 cents a share on revenue of $429.8 million, according to Thomson Reuters I/B/E/S.

    Shares of the Milwaukee-based company closed at $19.58 Wednesday on the New York Stock Exchange.

    Reporting by Biswarup Gooptu in Bangalore; Editing by Ratul Ray Chaudhuri

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