Team lowers 4th-quarter earnings forecast
Team cuts 4th-qtr. earnings forecast, gives 2014 earnings outlook below Wall Street's view
SUGAR LAND, Texas (AP) -- Team Inc. is cutting its fourth-quarter earnings forecast, citing a lower-than-expected profit margin.
The specialty industrial services provider also gave a fiscal 2014 earnings guidance below analysts' estimates on Monday. Its stock slid in morning trading.
Team now anticipates fourth-quarter earnings between 52 cents and 60 cents per share. Its prior outlook was for 69 cents to 84 cents per share.
Analysts polled by FactSet expect earnings of 72 cents per share, on average.
Shares of Team declined $6.97, or 16.5 percent, to $35.28. The stock has traded between $24.95 and $46.66 over the past year.
The Sugar Land, Texas, company said it faced cost and utilization difficulties for the period ending May 31. Revenue growth slowed in the fourth quarter on fewer big turnaround projects.
Team is expected to report its fourth-quarter results on July 30.
The company currently foresees fiscal 2014 earnings of approximately $2 per share on revenue of about $790 million.
Wall Street expects earnings of $2.21 per share on revenue of $789.2 million.
