Shares of Whirlpool Corp. (NYSE:WHR) fell 4.1% in pre-open trade Tuesday after the company’s revenue guidance for 2024 missed Wall Street’s estimates.
Analysts said the weakness in stock is also a result of core North America margin and guide coming in "short of already-low expectations going into the print, while FCF also remains soft."
"We expect the stock to trade down as a result," analysts said.
For Q4, Whirlpool reported earnings per share (EPS) of $3.85, topping the consensus projection of $3.54. Revenue came in at $5.09 billion, while analysts looked for $4.98 billion.
The home appliance manufacturer generated $2.88 billion in North America net sales, up 1.3% year-over-year, but missing the expected $2.96 billion.
EBIT stood at $266 million in the quarter, up 56% year-over-year, while analysts were looking for $304.6 million.
Looking ahead, Whirlpool expects 2024 revenue of $16.9 billion, notably below the consensus estimates of $17.68 billion.
Full-year EPS is anticipated to be in the range of $13 to $15, also missing Wall Street’s expectations of $15.34.
Whirlpool projects cash from operating activities to range between $1.15 billion and $1.25 billion, compared to analysts’ estimates of $1.27 billion.
Free cash flow is expected to be in the range of $550 million to $650 million, while analysts called for $888.3 million.
“The strength of our balance sheet, with approximately $1.6 billion cash on hand as we exit the year along with strong cash generation, positions us well to fund approximately $400 million of dividends in 2024 while further reducing debt by $500 million,” said Whirpool CFO Jim Peters.