Toro's fiscal first quarter, typically its slowest quarter of the year, wrapped up Jan. 31, and the yet-to-be finalized results have already excited investors. The company announced that it expects to report net earnings per diluted share of $0.52 to $0.54, which is a dramatic increase from its original expectations of $0.10 to $0.12 a share.
"The company's strong first quarter performance results from several factors, including: higher than expected sales in both our residential and professional segments due primarily to increased shipments of walk power mowers; a better than expected revenue rebound in our landscape contractor and irrigation businesses; and an increase in gross margin results from the company's 'Five by 5' profit improvement strategies," noted Ken Melrose, Toro's chairman and chief executive officer. "In addition, the company's first quarter results will include a one-time gain of $0.16 per diluted share, resulting from a legal settlement."
Toro will issue its first quarter results on Feb. 25 at 11:00 EST, but Melrose is confident that the company will continue growing. "Thanks to our successful execution of several key business strategies, we are starting the new fiscal year with stronger-than-expected performance that we believe we can sustain for the full year," he noted.