Whirlpool Q2 Sales Miss Estimates On Supply Chain Woes; Cuts Outlook

Whirlpool Corporation WHR reported a second-quarter FY22 sales decline of 2.3% year-on-year to $5.20 billion, missing the analyst consensus estimate of $5.23 billion.
The revenue decrease was driven by supply chain disruptions and demand slowdown.
Sales in Regions: North America fell 2.3% to $2.9 billion, Europe, Middle East, and Africa declined 10.3% to $1 billion, Latin America slipped 0.5% to $787 million, and Asia grew 30.5% to $338 million.
The gross margin of 17.6% contracted by 290 basis points Y/Y.
The operating loss for the quarter was $(306) million versus an operating income of $683 million last year.
The company held $1.6 billion in cash and equivalents as of June 30, 2022. The cash used in operating activities totaled $(180) million.
EPS of $5.97 beat the analyst consensus of $5.24, and the EBIT margin was 9%.
Outlook: Whirlpool has cut its FY22 EPS outlook to $22 - $24 (previously $24 - $26) versus the consensus estimate of $23.91.
The company expects FY22 sales of $20.7 billion. The revenue expectations were cut from 2-3% growth to a decline of 6%.
Price action: WHR shares closed lower by 1.86% at $164.65 on Monday.
Photo via Wikimedia Commons

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