Team Inc. CEO: Q4 will be strongest quarter of fiscal 2008
Team, Inc. (Nasdaq:TISI) CEO Philip Hawk said he is confident the firm’s fourth quarter ending in May will be the firm’s strongest quarter of the year in terms of earnings and revenue. During a midday conference call with analysts and investors, Hawk also said it would be “misguided” to reduce fourth-quarter expectations based on the provider of specialty industrial services’ third-quarter performance.
In a regulatory filing released after Monday’s closing, Team affirmed its 2008 earnings guidance of a range from $1.10 to $1.20 per share. Analysts expect $1.21. Team does not provide quarterly earnings guidance.
“I understand that the analysts who follow us do make quarterly estimates of our performance and that the recently reported results for this quarter are below the consensus estimate,” the chief executive said. “Just as we have discouraged analysts and investors from increasing expectations based on above-Street estimated performance in past quarters, it would be misguided to reduce expectations for Team based on performance in this quarter that is below Street estimates.”
Also after Monday’s close, Team reported third-quarter revenue of $108.8 million from $73.3 million a year earlier. Analysts expected revenue of $104 million.
Quarterly earnings for the three months ended Feb. 29 increased to $2.9 million, or $0.15 per share, from $2.4 million, or $0.13 per share, during the same period of 2006. Analysts anticipated earnings of $0.21 per share.
In afternoon trading, TISI shares are up 2.31%, or $0.63 at $27.93.
