In an attempt to provide customers with an easy and quick understanding of a standby generator Briggs & Stratton Corp. (BGG) has launched www.powernow.com. This new website will be a homeowners' step-by-step guide in the process of choosing, buying and installing a generator.
Briggs & Stratton introduced a variety of standby generators with an aim to offer all homeowners a permanent solution to prevent power outages. However, for many homeowners, understanding the standby generator and purchasing the same became a confusing process. It is expected that the new website will help them in the purchase procedure.
During its first-quarter earnings release, Briggs & Stratton upwardly revised its fiscal 2015 net income guidance to the new range of $53-$63 million from $50-$60 million. The company also raised its earnings per share outlook to $1.14-$1.35 from $1.07-$1.27, without taking into account the effects of acquisitions, additional share repurchases and costs related to restructuring. Net sales projections for fiscal 2015 also increased to the new band of $1.94-$2.00 billion from $1.88-$1.94 billion.
Briggs & Stratton will benefit from new product launches and increase in sales in emerging regions. On Aug 29, the company acquired Allmand Bros. Inc. for about $62 million. This acquisition will help in the expansion of Briggs & Stratton's higher margin commercial product portfolio and to diversify the business segments facilitating sales growth in the U.S. and abroad.
Moreover, the company has begun implementing restructuring actions to narrow its assortment of lower-priced Snapper consumer lawn and garden equipment and consolidate its Products segment manufacturing facilities in order to reduce costs. The company will close its McDonough, GA location in the second half of fiscal 2015 and production will be shifted to the existing facilities in Wisconsin and New York. Also, Briggs & Stratton's continuous focus on margin growth, geographical expansion through strategic acquisitions and cost cutting, which will aid growth in the near term.