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Manufacturing & engineering

Brady Corporation likely to post slight rise in 4Q earnings

Brady Corporation (NYSE:BRC) releases its fourth-quarter earnings before the opening bell on Tuesday, September 5, and analysts expect a slight rise in earnings.

The Milwaukee, Wisconsin-based manufacturer and supplier of identification solutions and workplace safety products has already guided investors to expect full-year adjusted diluted earnings per share (EPS) of between $3.35 and $3.60. After reporting adjusted EPS of $2.60 for the first nine months, that would imply 4Q EPS of between $0.75 and $1.

Analysts expect earnings towards the middle of that range, with consensus at $0.90, up from $0.87 a year ago, according to Zacks Investment Research.

Brady is also expected to provide an update on its recent reorganization around two new operating segments: Americas & Asia and Europe & Australia.

When it released its 3Q results in May, the company said the reorganization was aimed at better integrating its businesses while supporting continued organic growth by combining its best go-to-market strategies in each geography, facilitating an increased pace of new product development, and further simplifying its global businesses.

It also said continued investment in organic and non-organic growth initiatives would help it weather the current macroeconomic uncertainty.

Ahead of its results, Brady's shares closed 0.7% up at $50.80 on Friday.

Contact the author at stephen.gunnion@proactiveinvestors.com

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