Air conditioning, refrigeration and security company Ingersoll-Rand (NYSE:IR) cut its third quarter outlook today.
The company said it now expects earnings of $0.77 to $0.80 per share, compared to a prior forecast of $0.85 to $0.95 per share.
The new estimate is below analyst expectations.
Revenue is forecast to total $3.9 billion to $3.95 billion, compared to a prior outlook of $4.05 billion to $4.15 billion.
Ingersoll said revenues have been negatively impacted by slower than expected end markets in several businesses, including consumer-related businesses such as residential heating, ventilation and air conditioning, and golf and residential security.
The company said commercial security activity has also been slower than expected, while transport, industrial and commercial HVAC has remained strong.
Full year earnings are now projected to total $2.70 to $2.80 per share, compared to a prior outlook of $2.90 to $3.10 per share. The company releases third quarter earnings on October 20.
Ingersoll-Rand shares are trading down 16.5% Friday.
Johnson Controls (NYSE:JCI), a rival in the heating and ventilation and security sectors, is trading down over 3% Friday.
Ingersoll belongs to the Industrial Select Sector SPDR (AMEX:XLI), trading down over 1.5% Friday.
Top holdings in the fund include General Electric (NYSE:GE) and United Technologies (NYSE:UTX).
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