DOW JONES NEWSWIRES
Johnson Controls Inc. (JCI) sees revenue in its new fiscal year
above analysts' expectations as it sees stimulus-funded projects
making "a meaningful impact on revenues," along with increased
global automotive production.
The auto-parts and heating-systems maker also projected earnings
for the just-ended fiscal fourth quarter of 40 cents to 42 cents a
share. The mean estimate of analysts surveyed by Thomson Reuters
was 39 cents.
Johnson Controls returned to profitability in its third quarter
after two-straight periods of losses, and said that earnings should
continue to get stronger.
The company said Tuesday ahead of an analyst presentation that
earnings for the year started Oct. 1 should be $1.35 to $1.45 a
share on revenue of about $31 billion. Analysts expected $1.44 and
$30.15 billion, respectively.
The company expects 13% sales growth in its automotive
experience business, a 17% increase in its power solutions business
and 3% growth in its building efficiency business. Johnson Controls
gets nearly half of its revenue by producing commercial building
equipment and services, but it also derives well over a third from
making automobile seats, interior systems and batteries.
"We took decisive actions in 2009 to dramatically improve our
cost structure," said Chairman and Chief Executive Stephen Roell.
"We expect to deliver profitable growth in 2010, with accelerating
benefits in 2011 and beyond as our markets recover."
Johnson Controls will release its fourth-quarter results Oct.
27. Shares closed Monday at $27.13 and were inactive premarket. The
stock is up 49% this year.
-By Nathan Becker, Dow Jones Newswires; 212-416-2855;
nathan.becker@dowjones.com;