Jarden CEO Says Results 'Above Expectations' But Stock Skids
The chief executive of Jarden told CNBC that second-quarter results were strong and came in above expectations, though the company's stock tumbled on a more guarded outlook.
"Let me clear up the confusion, we actually had a good second quarter," CEO Martin Franklin said on "Squawk Box." "We beat the Street estimates with, really, any estimates you want to look at."
Jarden on Monday reported higher second-quarter profit, as sales increased and the consumer products company focused on its leading brands and developing new products.
Excluding acquisition costs and other one-time items, the company earned 59 cents per share. Wall Street analysts, on average, said the company would earn 57 cents per share, according to Thomson Financial.
But Jarden's stock fell sharply after the company issued a somewhat guarded outlook for the rest of the year.
While Jarden did not lower any of its specific outlook numbers, it was going to be "somewhat cautious" for the rest of the year and not "... overly aggressive on inventory positions and things like that," Franklin said in a conference call.
The Rye, N.Y.-based company , which sells brands such as Mr. Coffee, Sunbeam, Crock-Pot and Coleman, said net income rose to $16.7 million or 23 cents a share, from $13.3 million, or 20 cents a share, a year earlier. Net sales rose 9% to $1.05 billion.
Franklin also said overall consumer spending was "still relatively good" but weakness may be in the cards.
"The consumer has been amazing through a sustained period of time," he said. "I think things have definitely slowed down. I wouldn't call it a crisis at all but there is definitely going to be less growth coming up and that's going to be the case for some time."
The integration of K2, a sports equipment maker that Jarden acquired in April, should help speed up the timing of potential revenue and operating synergies between the businesses, Franklin said on a conference call with analysts, adding that he was still looking for growth in Jarden's Outdoor Solutions segment.