Robbins & Myers 4Q income slips on sale costs
HOUSTON -- Robbins & Myers saw its net income fall 9 percent in the fourth quarter, partly due to the costs from its $2.5 billion sale to National Oilwell Varco.
National Oilwell Varco Inc. announced in August that it would pay $60 per share for the engineered equipment supplier which makes and services pumps, valves and other equipment used to control the flow of oil and gas in drilling operations.
But the Houston company also cited labor issues at a pump manufacturing plant in Ohio, the estimated settlement of an export investigation, and the effects of Hurricane Isaac.
Net income declined to $32.4 million, or 76 cents per share, for the three months ended Aug. 31. A year earlier it reported net income of $35.4 million, or 77 cents per share. Excluding one-time items the company earned 92 cents per share in the latest quarter. Revenue grew 6 percent, to $275.2 million from $259 million.
Analysts expected Robbins & Myers to report net income of 98 cents per share and $276.2 million in revenue.
Energy service revenue rose 5 percent to $175.7 million and process flow and control revenue grew 8 percent to $99.5 million.
For the full fiscal year, Robbins & Myers' net income rose 12 percent, to $150 million, or $3.39 per share, from $134 million, or $3.24 per share. Revenue rose 26 percent, to $1.03 billion from $820.6 million.
Shares of Robbins & Myers Inc. gained 9 cents to $59.83 in midday trading.