CORK: Tyco International Ltd. on Friday reported adjusted profit in line with expectations for its fiscal fourth quarter ended in September, even as revenue continued to be hurt by foreign currency impact.
Revenue fell 7.3% compared with the same period last year, mostly due to a 7% negative impact attributed to the stronger U.S. dollar.
The Cork, Ireland-based fire-protection and security systems company, which moved its headquarters late last year to Ireland from Switzerland, does more than half its business outside of the U.S. The stronger U.S. dollar makes its products more expensive abroad.
For the year, revenue fell 4.2% to $9.9 billion. Organic revenue growth of 1% and acquisitions growth of 2% were offset by a 6% negative impact from foreign exchange volatility.
“Despite slower growth in the industrial and energy-related end markets, we continue to see pockets of strength across the globe, led by U.S. nonresidential construction markets,” Chief Executive George R. Oliver said in a news release. “We anticipate these market conditions to continue in fiscal 2016.”
The company said that adjusted earnings in the coming fiscal year would now reflect restructuring and repositioning charges of between 14 cents and 19 cents per share. Tyco sees earnings for the year in the range of $2.05 to $2.20 per share. The estimate is below analysts’ forecast of $2.22. Adjusted full-year earnings for this year was $1.74 a share, under analysts’ estimates of $1.78.
Overall for the latest quarter, the company posted a profit of $66 million, or 15 cents a share, up from a loss of $89 million, or a loss of 20 cents a share a year earlier. On an adjusted basis the company posted earnings of 61 cents from continuing operations.
Revenue fell 7.3% to $2.51 billion.
Analysts had expected adjusted earnings of 61 cents on revenue of $2.53 billion.
