By Sabela Ojea
Shares of Valvoline dropped after the automotive-maintenance company guided for lower-than-expected revenue in fiscal 2025.
The stock was 7.8% lower, at $39, in midday trading Tuesday. Shares have, however, climbed 13% over the past 12 months.
The company said it expects revenue for the fiscal year ending in September 2025 of $1.67 billion to $1.73 billion, as well as same-store-sales growth of 5% to 7%. Wall Street forecasts higher quarterly revenue of $1.82 billion.
Valvoline's outlook comes as it reported higher profit and revenue in its fiscal fourth quarter.
The company posted a quarterly net profit of $92.3 million, or 71 cents a share, compared with $48.9 million, or 35 cents a share, for the same period a year earlier.
Stripping out one-time items, the company's earnings per share came in at 46 cents. Analysts polled by FactSet had forecast adjusted earnings of 42 cents.
Revenue rose 12%, to $435.5 million, beating the $432.8 million expected by Wall Street analysts, according to FactSet.
Write to Sabela Ojea at sabela.ojea@wsj.com
(END) Dow Jones Newswires
November 19, 2024 12:30 ET (17:30 GMT)
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