Lincoln Electric 4th-qtr profit up 25 pct as sales dip because of lower reorganization costs

Lincoln Electric 4th-qtr profit rises 25 pct

CLEVELAND — Lincoln Electric Holdings Inc. said Monday its fourth-quarter profit rose 25 percent even as sales fell because it spent less on a reorganization to consolidate factories.

Its stock fell in afternoon trading.

The maker of arc welding products and systems said its quarterly profit rose to $24.3 million, or 57 cents per share, from $19.5 million, or 46 cents per share, a year earlier. The adjusted profit of 65 cents per share beat by 2 cents a prediction of analysts polled by Thomson Reuters.

But shares fell $2.37, or 4.6 percent, to $49.28 in afternoon trading.

The latest results included $3.4 million from costs to close a factory in Europe and consolidation of some operations. The year-earlier reorganization costs for the Cleveland company were higher.

Revenue fell 12 percent to $462.4 million from $526.2 million in the quarter that ended Dec. 31. Analysts had expected $454.3 million.

For the entire year, Lincoln Electric’s profit fell 77 percent to $48.6 million, or $1.14 per share, from $212.3 million, or $4.93 per share. Adjusted profit totaled $1.71 per share.

Yearly revenue fell 30 percent to $1.73 billion from $2.48 billion.