Briggs & Stratton Corporation (BGG) has reported a 33.54 percent jump in profit for the quarter ended Apr. 02, 2017. The company has earned $35.82 million, or $0.83 a share in the quarter, compared with $26.82 million, or $0.61 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $35.82 million, or $0.83 a share compared with $34.94 million or $0.80 a share, a year ago.
Revenue during the quarter went down marginally by 1.12 percent to $596.96 million from $603.75 million in the previous year period. Gross margin for the quarter expanded 153 basis points over the previous year period to 22.58 percent. Total expenses were 90.36 percent of quarterly revenues, down from 92.53 percent for the same period last year. This has led to an improvement of 217 basis points in operating margin to 9.64 percent.
Operating income for the quarter was $57.57 million, compared with $45.12 million in the previous year period.
However, the adjusted operating income for the quarter stood at $57.57 million compared to $53.49 million in the prior year period. At the same time, adjusted operating margin improved 78 basis points in the quarter to 9.64 percent from 8.86 percent in the last year period.
"Our focus on growing higher margin commercial engines and products has been an important factor in driving our improved profitability over the last few years and we continued to make progress during our fiscal third quarter," said Todd J. Teske, Chairman, President and Chief Executive Officer. "The hard work over the past several years to reposition our product portfolio and manufacturing footprint in order to place the proper focus on commercial growth of engines, lawn and turf care and job site products is showing results as we have achieved solid growth driven in part by new product introductions.
Operating cash flow remains negative
Briggs & Stratton Corporation has spent $28.20 million cash to meet operating activities during the nine month period as against cash outgo of $5.36 million in the last year period.
The company has spent $44.42 million cash to meet investing activities during the nine month period as against cash outgo of $63.02 million in the last year period. It has incurred net capital expenditure of $47.77 million on net basis during the nine month period, up 19.13 percent or $7.67 million from year ago period.
Cash flow from financing activities was $35.47 million for the nine month period as against cash outgo of $4.45 million in the last year period.
Cash and cash equivalents stood at $52.10 million as on Apr. 02, 2017, up 19.17 percent or $8.38 million from $43.72 million on Mar. 27, 2016.
Debt moves up
Briggs & Stratton Corporation has witnessed an increase in total debt over the last one year. It stood at $283.98 million as on Apr. 02, 2017, up 11.95 percent or $30.32 million from $253.66 million on Mar. 27, 2016. Interest coverage ratio improved to 10.43 for the quarter from 8.07 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
