|AUG. 25 I HARMAN I FINANCIAL|
Harman Shares Hit Five-Year Low
Shares of Harman International Industries hit a five-year low after posting a fiscal fourth-quarter profit far below Wall Street forecasts, according to an Aug. 18 Associated Press report.
The parent company of JBL Pro, AKG, DOD, Studer, Crown and Lexicon said that its fiscal fourth-quarter profit plunged 70 percent to $31.7 million, or 54 cents per share, on revenue of $1.07 billion.
Stripping out one-time items, the company reported an adjusted profit of 68 cents per share, missing analysts’ target by 9 cents.
Analysts polled by Thomson Reuters anticipated a higher profit of 77 cents per share.
According to the Harman fourth quarter report, sales growth was primarily driven by its automotive and professional divisions. The consumer division's net sales in the quarter were lower across multiple product categories in the United States due to general economic weakness and increased competition in the multimedia market.
Net sales in the professional division were 7-percent higher than the same period last year. Excluding currency effects, fourth quarter sales were 4-percent higher than the same period in 2007. The increase in net sales was a result of several new product launches.