Snow plow maker Douglas Dynamics Inc. said it expects revenue and earnings for 2012 to fall short of expectations.
Revenue now is projected to be about $140 million for the year, down from the $160 million to $190 million previously anticipated, the Milwaukee-based company said. Earnings per share for the full year are expected to be 25 cents to 27 cents per share, compared with earlier projections of 55 cents to 79 cents.
"During our third-quarter earnings call we outlined our expectations that results would be at the bottom end of our guidance range. As the fourth quarter unfolded, we saw below average snowfall combined with very warm temperatures in most of our core markets through mid-December, which created challenging market conditions and has produced results that fell short of our expectations," James L. Janik, president and chief executive, said in a press statement. "These preliminary results reflect the culmination of multiple factors that negatively affected our business during the year."
The company designs, manufactures and sells snow and ice control equipment for light trucks.
Janik said that in spite of the short-term issues, "the long-term fundamentals of our business remain strong and we continue to generate significant cash flows and maintain a strong financial position."
Douglas Dynamics said it will provide full fourth quarter and full year 2012 financial results on March 11.