UPDATE 1-Timken posts lower profit, cuts outlook again
* Blames 'slower-than-expected economic recovery'
* Shares down in premarket trading
Oct 24 (Reuters) - Timken Co on Thursday reported a lower quarterly profit and cut its full-year outlook yet again, citing a "weaker-than-expected economic recovery" that it said had depressed demand for its ball bearings and specialty steel across all markets.
The news sent the company's shares down more than 5 percent in pre-bell electronic trading.
The Canton, Ohio-based company posted a third-quarter profit of $52.2 million, or 54 cents a share, down from $80.9 million, or 83 cents a share, in the comparable period last year.
Sales fell 7 percent to $1.1 billion.
Timken said it now expects full-year 2013 sales to be down 13 percent compared with a year before.
At the start of this year, Timken said it expected sales to be down 5 percent in 2013. In July, the company revised that outlook and said it expected sales to be down 10 percent this year, in part because of softer-than-expected demand from industrial customers.
As a result of the deteriorating sales outlook, Timken said on Thursday that it now expects to post full-year EPS in the range of $2.70 to 2.90, down from its most recent forecast of $3.30 to 3.60 a share and an original forecast of $3.75 to $4.05 a share.
The company blamed 7 cents of the projected full-year earnings on anticipated costs related to its separation into two companies.
In May, the company's shareholders approved an activist investor's proposal to split the company into two businesses. A formal plan to separate the two businesses was announced in September and Timken said it expected to complete the tax-free process within 12 months.
In pre-bell electronic trading on Thursday, Timken shares were fetching $57, down $3.13 from their $60.13 close on Wednesday on the New York Stock Exchange.