Shares of Thermon Group Holdings took a hit as the company revised its full-year earnings guidance. The stock dropped 9.5% to $24.36 during Friday’s afternoon trading session, following an 8.6% decline at Thursday’s close. Over the past five days, shares have fallen approximately 23%.
Based in Austin, Texas, Thermon Group Holdings specializes in providing industrial process heating solutions. On Thursday, the company announced that it now expects a per-share profit of $1.42 to $1.50 for the fiscal year ending in March. This is a reduction from its previous forecast of $1.59 to $1.69 per share.
Additionally, Thermon lowered its outlook for adjusted profit, excluding certain one-time items, to $1.76 to $1.84 per share, compared to the previously issued guidance of $1.84 to $1.94 per share in adjusted profit.
While adjusting their expectations, Thermon also raised their full-year revenue projections to a range of $490 million to $500 million, up from the previous outlook of $478 million to $498 million.
In the three months ended on December 31, the company experienced a 12% increase in sales, reaching $136.4 million. This led to a profit of $15.8 million, or 46 cents per share, compared to $8.4 million, or 25 cents per share, in the same period last year.
In conclusion, Thermon Group Holdings has lowered its earnings guidance for the full-year, causing a decline in stock value. With a revised profit forecast and increased revenue expectations, the company aims to navigate the challenges ahead.
