Houston Wire & Cable down on Q3 profit decline
Houston Wire & Cable Co. (Nasdaq: HWCC) shares are diving after the company’s third-quarter profit declined to $8.3 million, or $0.41 per share, below analyst estimates of $0.43 per share and down 13% from $9.5 million, or $0.45 per share, a year earlier.
Quarterly sales increased 10% to $98.9 million, slightly above Wall Street projections of $97.2 million and compared with $90 million during the same period of 2006.
The electrical wire and cable distributor expects a downward sales trend in its repair and replacement sector for the rest of the calendar year, because of economic “moderation and near-term uncertainty,” CEO Charles Sorrentino said in a statement.
In afternoon trading, HWCC shares are down 15.97%, or $2.66, at $14. Over the last 52 weeks, shares have ranged from $13.86 to $31.19.
