Gas- and fluid-handling technology company Colfax Corporation (NYSE: CFX) released financial results this morning but posted earnings results that surprised investors and analysts.
Colfax reported a 6.7 percent increase in net sales to $177.79 million for the fourth quarter 2011 compared to $166.65 million in the same period of 2010. The average analyst estimate for sales was $189.73 million. For the full year Colfax had $693.4 million in net sales a 27.9 percent increase.
Earnings were impacted negatively, coming in well below estimates and turning into a loss for the fourth quarter. The net loss of $16.1 million or $-0.37 cents per share was down from the $8.7 million net income posted in the fourth quarter 2010. Nine analysts had expected an average of $0.45 cents per share in net income.
The Fulton-based company in Baltimore metro said the loss was due to a pre-tax charge of $25.3 million for the $2.4 billion acquisition of Charter International. For the full year net income was $4.6 million or $0.10 cents per basic and diluted share.
"We made significant progress on our strategic priorities during 2011 and have reduced our cost base in fluid handling as we enter 2012. We also announced the closing of the acquisition of Charter International plc on
Colfax Corporation (NYSE: CFX) shares were down over seven percent or $2.48 in pre-market trading.