Brunswick Corporation senior management, in a meeting with envestors on Tuesday, reviewed the company's strategic objectives and growth prospects and confirmed the company's previously announced earnings estimates for the third quarter of 2003 and the year.
When Brunswick announced its second quarter results on July 23, Buckley noted that the company expected to report diluted earnings in the range of $1.45 to $1.50 per share for the year (excluding the $0.18 per share litigation charge taken in the first quarter) and between $0.35 and $0.40 for the third quarter of 2003.
The company remains on track to achieve its earnings expectations. In the comparable 2002 periods, the company reported diluted EPS of $1.14 for the year and $0.26 for the third quarter.
Buckley's remarks will also focus on the company's vision to, “unleash the full potential of one of America's oldest and finest companies,” touching upon ongoing technology and product innovation, cost reduction efforts, brand management and marketing efforts, and enhancing distribution channels.
Looking at the mid-term financial impact of these initiatives, Peter G. Leemputte, senior vice president and chief financial officer, will tell analysts, “Combining industry growth, share gains and modest pricing improvements, our current portfolio of businesses should deliver annual top- line growth of 5 percent to 9 percent over the next three years. Cost reduction and other efficiency moves are expected to result in operating margins of between 8 percent and 10 percent by 2006. Using the midpoint of these ranges, you would expect earnings in excess of $3.00 per share in 2006. I would caution that you should not view this as our official earnings target for the company in 2006, but as a directional indicator of the earnings potential of our current portfolio of businesses over the mid term.”
