Hamburg-based Gibraltar Industries beats earnings forecasts

Aug 08, 2008 (The Buffalo News - McClatchy-Tribune News Service via COMTEX) -- ROCK | Quote | Chart | News | PowerRating -- Aug. 8--Gibraltar Industries surprised analysts with second-quarter profits that easily topped estimates, as the Hamburg-based building and steel products manufacturer reaped the benefits of a cost-cutting program it launched last year.

Gibraltar's profits from continuing operations jumped by 56 percent to $20.3 million, or 67 cents per share, far better than the 38 cents per share that analysts surveyed by Thomson Financial/First Call were expecting and well above the $13 million, or 43 cents per share, that the company earned a year ago.

Sales from continuing operations rose 6 percent to $379 million from $356 million, which was better than the $365 million in revenues that analysts were expecting.

The strong second quarter prompted Gibraltar executives to hike their earnings forecast for the entire year. Gibraltar now expects to earn $1.50 to $1.65 per share from continuing operations this year, far above the $1.05 to $1.25 per share it previously had predicted and better than the $1.03 per share the company earned last year.

"These were strong results, especially in light of weakness in two of our major markets and a slowing economy," said Brian J. Lipke, Gibraltar's chairman and chief executive officer, referring to the slumping auto and housing industries.

drobinson@buffnews.com

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