The Toro Company Q2 EPS Tops Forecast

The Toro Company (NYSE:TTC) reported its results for its fiscal 2025 second quarter on June 5, posting adjusted EPS of $1.42, up $0.02 year over year and above guidance, but revenue declined by 2.3% to $1.32 billion. Management updated its full-year guidance to reflect persistent weakness in the residential market. It's now forecasting that revenues will be flat to down 3%, and that adjusted diluted EPS will be in the $4.15 to $4.30 range, primarily due to ongoing consumer caution and the impacts of a late spring in many parts of the U.S. this year.The company's Accelerated Margin Productivity (AMP) program, launched in fiscal 2024, has generated $70 million in cumulative run-rate savings through the reported quarter, with a $100 million target by 2027. This initiative directly addresses increased material and manufacturing costs. It also serves to mitigate the headwinds from U.S. tariffs, which management estimates will represent approximately 3% of cost of goods sold this fiscal year.AMP's scale and runway provide Toro with a structural hedge against inflationary, trade, and supply chain disruptions, safeguarding profitability even as revenue growth stalls.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool