Trimble’s Third-Quarter Earnings Slide
Transportation technology supplier Trimble Navigation Ltd. said third-quarter earnings fell from a year ago, due in large part to a legal judgment against the company and weaker-than-expected sales of its agricultural products.
Trimble, the parent of several major suppliers of technology to the North American trucking industry, said net income dropped to $11.8 million, or 4 cents per share, from $54.5 million, or 21 cents, in the same period last year.
Revenue for the quarter rose 5% to $584.8 million, the Sunnyvale, California-based company reported Oct. 30.
Operating income at the mobile solutions segment, which includes PeopleNet, TMW Systems and ALK Technologies, increased to $18.2 million from $15.3 million last year, Trimble said.
The unit’s revenue climbed 7% from a year ago, to $121.2 million, “due to double-digit growth in sales of transportation and logistics solutions,” the company said.
However, Trimble’s quarterly results included a $52 million legal reserve related to a $51.3 million jury verdict against the company in a case involving an Alaska software company. Trimble said it plans to appeal.
CEO Steven Berglund also said results in agriculture and Europe were weaker than originally anticipated.
“Although we expect a challenging fourth quarter compared to last year’s performance, we believe we are improving our overall position in key markets,” he said in the report.
For the fourth quarter, Trimble said it expects revenue to be between $560 million and $590 million and earnings per share of 9 cents to 15 cents.
