GGRAsia – Tech supplier Crane posts 16 pct increase in 4Q profit

Tech supplier Crane posts 16 pct increase in 4Q profit

Jan 26, 2016 Newsdesk Industry Talk, Latest News

U.S.-based Crane Co reported fourth quarter net income of US$65.2 million, up by 16.0 percent in comparison with the prior-year period. The firm’s payment and merchandising technology division – which supplies products to clients in the casino industry – recorded a year-on-year sales decrease of 1.7 percent.

Crane’s overall net income in full year 2015 was US$228.9 million, an increase of 18.8 percent compared to US$192.7 million in 2014, the firm said in a filing on Monday.

The New York Stock Exchange-listed firm posted earnings of US$1.11 per diluted share, compared to US$0.95 per share in the fourth quarter of 2014. Crane’s full-year 2015 earnings per diluted share were US$3.89, compared to US$3.23 in 2014.

As well as providing payment and merchandising technology to the gaming industry, Crane also supplies highly engineered industrial products to customers including companies in the aerospace, electronics, hydrocarbon processing, petrochemical, chemical, power generation, automated merchandising and transportation markets.

Crane’s payment and merchandising technology division recorded sales of US$174 million during the fourth quarter of 2015, down by US$3 million in year-on-year terms. Operating profit for the segment, excluding some after-tax special items, increased by 25.0 percent in year-on-year terms to US$30 million.

“[The] payment and merchandising [division] is on track for continued sales growth and margin expansion,” said Max Mitchell, Crane’s president and chief executive.

Crane also announced guidance for earnings per share for full-year 2016. The firm expects earnings to range between US$3.85 and US$4.15 per share, with core sales growth ranging between a decrease of 1.5 percent in year-on-year terms and an increase of 1.5 percent.

The firm meanwhile announced a regular quarterly dividend of US$0.33 per share for the first quarter of 2015. The dividend is payable on March 10, to shareholders of record as of the close of business on February 29.