Citing new business deals and a recovering U.S. housing market, paint manufacturer Valspar Corp. on Tuesday reported that adjusted second-quarter earnings per share rose 8.3 percent to 91 cents, slightly above the 90 cents anticipated by Wall Street analysts. Revenue fell just short of the $1.05 billion Wall Street had expected.
“Strong volume growth in the quarter was driven by new business wins,” said CEO Gary Hendrickson. “The strengthening U.S. housing market, coupled with our continued new business initiatives, should provide further improvements in the second half of the year.”
Valspar shares rose 5.3 percent, or $3.60, in Tuesday’s trading to close at $71.46. The company reaffirmed its fiscal year adjusted earnings guidance of $3.60 to $3.80 per share. Wall Street has been expecting full-year adjusted earnings of $3.68 per share.