Briggs & Stratton Expects Lower Second Quarter Earnings
18 December 1997
Briggs & Stratton Expects Lower Second Quarter EarningsMILWAUKEE, Dec. 18 --Briggs & Stratton Corporation stated today that earnings for its second quarter ending December 1997 are expected to be down from last year's second quarter on comparable unit volume. The projected decrease is due principally to the impact of the strong U.S. dollar on revenue from sales into the European Union and a shift in the mix of engines shipped in the second quarter. The mix in this year's second quarter is more heavily weighted toward lower horsepower, lower price engines. The Company believes the mix shift will reverse in the second half of the year. Based on customer expectations, orders actually placed, and favorable econometric forecasts, and assuming normal spring weather, the Company continues to expect sales revenues and earnings to increase for the full fiscal year. This release contains certain forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. The forward-looking statements are based on the Company's current views and assumptions and involve risks and uncertainties that include, among other things, the effects of weather on the purchasing patterns of the Company's customers and end use purchasers of the Company's engines; the seasonal nature of the Company's business; actions of competitors; changes in laws and regulations, including accounting standards; employee relations; customer demand; prices of purchased raw materials and parts; domestic economic conditions, including housing starts and changes in consumer disposable income; and foreign economic conditions, including currency rate fluctuations. Some or all of the factors are beyond the Company's control. SOURCE Briggs & Stratton Corporation