Whirlpool Results, Outlook, and Dividend Hit by Consumer Sentiment and Tariffs
Whirlpool blamed falling consumer sentiment and the impact of tariffs for weaker-than-anticipated results.
The major appliance maker recommended slashing its dividend to reduce costs.
Whirlpool also reduced its full-year profit guidance.Whirlpool (WHR) shares tumbled more than 10% Tuesday, a day after the maker of washers, dryers, and other major appliances posted worse-than-expected results, cut its guidance, and planned to reduce its dividend because of what it called "negative consumer sentiment."
The owner of its eponymous brand as well as Maytag, KitchenAid, and others reported second-quarter adjusted earnings per share of $1.34, with revenue declining more than 5% year-over-year to $3.77 billion. Both fell short of Visible Alpha estimates.
The Benton Harbor, Mich.-based firm added that along with falling consumer sentiment, its results continued to be hurt by high levels of promotional activity and new U.S. tariffs, with competitors "stockpiling Asian imports into the U.S." ahead of the implementation of the new duties.
CFO Jim Peters said the company faced an "uncertain environment," and because of that "we are focused on what we can control: executing cost reduction, proactively managing debt maturities, and strengthening our balance sheet to ensure financial resilience."
As part of that cost reduction, Whirlpool announced that it was recommending slashing its annual per share dividend to $3.60 from $7.00.
The company also lowered its full-year adjusted EPS outlook to a range of $6.00 to $8.00 compared to the previous forecast of approximately $10.00.
Shares of Whirlpool have lost roughly a quarter of their value this year.
Read the original article on Investopedia
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
7 minutes ago
- Yahoo
Cocoa Prices Sharply Lower on the Outlook for Adequate Supplies
September ICE NY cocoa (CCU25) on Friday closed down -274 (-3.22%), and September ICE London cocoa #7 (CAU25) closed down -165 (-2.92%). Cocoa prices settled sharply lower Friday as supply concerns eased on speculation that cocoa will be exempt from President Trump's tariffs. US Commerce Secretary Lutnick noted earlier this week that goods not produced in the US could be exempted from tariffs. More News from Barchart Brazil Tariff Risks Underpin Arabica Coffee Prices Arabica Coffee Rises as Tariff Risks Remain Cocoa Prices Settle Sharply Higher on Supply Woes Stop Missing Market Moves: Get the FREE Barchart Brief – your midday dose of stock movers, trending sectors, and actionable trade ideas, delivered right to your inbox. Sign Up Now! Earlier this week, cocoa prices rallied to 1-month highs on concern that the slowdown in the pace of Ivory Coast cocoa exports could tighten global supplies. Monday's government data showed that Ivory Coast farmers shipped 1.75 MMT of cocoa to ports this marketing year from October 1 to July 27, up +6.1% from last year but down from the much larger +35% increase seen in December. Concerns about dry weather in West Africa are also bullish for cocoa prices. According to the European Centre for Medium-Range Weather Forecasts, rainfall in the Ivory Coast and Ghana this season remains below the 30-year average, and combined with high temperatures, risks hurting cocoa pod development for the main crop harvest that starts in October. Concerns over tepid chocolate demand are bearish for cocoa prices. Last Tuesday, chocolate maker Lindt & Spruengli AG lowered its margin guidance for the year due to a larger-than-expected decline in first-half chocolate sales. Also, chocolate maker Barry Callebaut AG reduced its sales volume guidance earlier this month for a second time in three months, citing persistently high cocoa prices. The company projects a decline in full-year sales volume and reported a -9.5% drop in its sales volume for the March-May period, the largest quarterly decline in a decade. Cocoa prices sold off last month, with NY cocoa sinking to an 8.5-month nearest-futures low and London cocoa slumping to a 17-month nearest-futures low. Weakness in global cocoa demand has hammered prices. The European Cocoa Association reported on July 17 that Q2 European cocoa grindings fell by -7.2% y/y to 331,762 MT, a bigger decline than expectations of -5% y/y. Also, the Cocoa Association of Asia reported that Q2 Asian cocoa grindings fell -16.3% y/y to 176,644 MT, the smallest amount for a Q2 in 8 years. North American Q2 cocoa grindings fell -2.8% y/y to 101,865 MT, which was a smaller decline than the declines seen in Asia and Europe. In a bearish development, ICE-monitored cocoa inventories held in US ports reached a 10.5-month high of 2,368,141 bags last Tuesday. Higher cocoa production by Ghana is bearish for cocoa prices. On July 1, the Ghana Cocoa Board projected the 2025/26 Ghana cocoa crop would increase by +8.3% y/y to 650,000 from 600,000 MT in 2024/25. Ghana is the world's second-largest cocoa producer. Cocoa prices have support from quality concerns regarding the Ivory Coast's mid-crop cocoa, which is currently being harvested through September. Cocoa processors are complaining about the quality of the crop and have rejected truckloads of Ivory Coast cocoa beans. Processors reported that about 5% to 6% of the mid-crop cocoa in each truckload is of poor quality, compared with 1% during the main crop. According to Rabobank, the poor quality of the Ivory Coast's mid-crop is partly attributed to late-arriving rain in the region, which limited crop growth. The mid-crop is the smaller of the two annual cocoa harvests, which typically starts in April. The average estimate for this year's Ivory Coast mid-crop is 400,000 MT, down -9% from last year's 440,000 MT. On May 30, the International Cocoa Organization (ICCO) revised its 2023/24 global cocoa deficit to -494,000 MT from a February estimate of -441,000 MT, the largest deficit in over 60 years. ICCO said 2023/24 cocoa production fell by 13.1% y/y to 4.380 MMT. ICCO stated that the 2023/24 global cocoa stocks-to-grindings ratio declined to a 46-year low of 27.0%. Looking ahead to 2024/25, ICCO on February 28 forecasted a global cocoa surplus of 142,000 MT for 2024/25, the first surplus in four years. ICCO also projected that 2024/25 global cocoa production will rise +7.8% y/y to 4.84 MMT. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
2 hours ago
- Yahoo
Gold demand in key Asian hubs improves amid price correction
By Rajendra Jadhav and Anmol Choubey (Reuters) -Physical gold demand in key Asian markets improved slightly this week as a pullback in prices sparked buying interest, though volatility kept some buyers cautious. Spot gold hit its lowest level in a month on Wednesday and was headed for third consecutive weekly loss. [GOL/] "This week, footfall was better than last week. Buyers were inquiring about price trends and making small purchases," said a Pune-based jeweller. Domestic gold prices were trading around 97,700 rupees per 10 grams on Friday after rising to 100,555 rupees last week. Discounts offered by Indian dealers narrowed to as much as $7 an ounce over official domestic prices, inclusive of 6% import and 3% sales levies, compared to up to $15 last week. Jewellers were keen to make purchases to replenish inventory after a correction in overseas prices, but a significant drop in the rupee offset the impact of the price fall to an extent, said a Mumbai-based bullion dealer with a private bank. India's gold consumption in 2025 is set to fall to a five-year low, as record-high prices are denting jewellery purchases, the World Gold Council said on Thursday. In China, dealers quoted gold in a wide range, between a discount of $4.2 and a premium of $12 per ounce above international rates. "China appears to slightly buy the dip in gold... trading volume for the physical proxy contract AU9999 on the Shanghai Gold Exchange has been on the rise (11 tons traded yesterday), reflecting a renewed interest in the metal," said Hugo Pascal, a precious metals trader at InProved. In Hong Kong gold was sold at par to a $1.50 premium, while Singapore prices ranged from par to a $1.40 premium. In Japan, bullion was sold at par to a premium of $0.60. "There was lots of demand to buy if the price dropped even slightly. Regardless of the Japan-U.S. trade deal, gold is being purchased as an asset class amid low interest rates," a Japan-based trader said. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Eater
4 hours ago
- Eater
A Titanic Vietnamese Cafe Opens After Much Hype in Portland
is the associate editor for the Northern California and Pacific Northwest region writing about restaurant and bar trends, coffee and cafes, and pop-ups. The most successful cafe in Vietnam is about to open its first location in Oregon. Trung Nguyên Legend Cafe opens for business on Saturday, August 2. This opening was first teased earlier this year. The new outpost on 8435 SE Powell Boulevard will be open 7 a.m. to 4 p.m. every day of the week. The business's big new space — the 1,800-square-foot former restaurant and billiard hall Pho Le II — sits in the western chunk of the Powellhurst-Gilbert neighborhood. Owner Brad Tran confirms he has secured a second lease for Beaverton. That space is set to open in November. He says opening a business in Portland is wildly difficult, with a laugh, and that this weekend is more of a test run to get staff at the SE Powell Boulevard location up to snuff. After that, there'll be a big party. He plans to extend hours to 9 p.m. when they start cooking a full menu. Trung Nguyên Legend Cafe The drinks are what's made Trung Nguyên Legend Cafe line-inducing. There are the Ottoman and Roman ice milk coffee sets, each a pretty display in singular serving vessels. The Thien Coffee is the most popular signature drink for the business, served in a small black pot. Though the cafe is beloved for its rendition of kopi luwak — a regional specialty coffee that traditionally uses beans digested by civet cats — Tran says everything the company sells is made in a factory now rather than with the animal. On the food side of things, it's all counter items available as grab and go for now. Think croissants and a few cakes. That full menu down the road will feature fusion Asian food, as Tran puts it. Such dishes include banh mi, pho, and rice platters. This type of cafe within the company's matrix is called the Legend 'Coffee World.' For Trung Nguyên Legend fans, that distinguishes this outpost as one of the nicer versions, like a Starbucks Reserve rather than one of the typical cafes. (Those more common cafes are called E-Coffee, which uses a lower grade of coffee bean.) This Portland location has indoor seating for about 60 customers with room outdoors for about 10 people. In the United States, there's just two other outposts, a majorly popular Los Angeles location that opened in 2023 and a brand new shop in Texas that opened in early June 2025. According to a press release from the company, the cafes are pushing further into the United States and China going forward. Trung Nguyên Legend Cafe Trung Nguyên's wide array of flavors that are worth trying, and the ornate presentations, is unusual for most American coffee fans, Tran says. It's new to the Western market, he adds, and nothing like the Starbucks most are familiar with. 'Vietnamese coffee's been getting a lot of traffic in Western culture,' he says. 'Especially this brand. The bean is number one rated in Vietnam.' Trung Nguyên Legend Cafe (8435 SE Powell Boulevard) opens Saturday, August 2, and will operate 7 a.m. to 4 p.m. every day of the week.
