Whirlpool Corporation (NYSE: WHR) Earnings Preview: Key Insights

• Whirlpool Corporation (NYSE:WHR) is set to release its quarterly earnings with an estimated EPS of $1.75 and projected revenue of $3.67 billion.
• The company faces challenges due to global demand softness, with an expected revenue decrease of 18.1% from the previous year.
• Despite a tough economic climate, Whirlpool has previously outperformed expectations, indicating potential resilience.

Whirlpool Corporation (NYSE:WHR), a leading global manufacturer of home appliances, is known for its wide range of products including refrigerators, washing machines, and ovens. Competing with giants like Electrolux and LG, Whirlpool is a major player in the appliance industry. On April 23, 2025, WHR is set to release its quarterly earnings, with Wall Street estimating an earnings per share (EPS) of $1.75 and projected revenue of approximately $3.67 billion.

The upcoming earnings release comes amid a challenging macroeconomic environment. Analysts expect Whirlpool to face difficulties due to global demand softness and an unfavorable price/mix. The Zacks Consensus Estimate for first-quarter revenues is $3.68 billion, marking an 18.1% decrease from the same quarter last year. Additionally, the consensus estimate for quarterly earnings is $1.73 per share, reflecting a 2.8% decline from the year-ago period.

Despite these challenges, Whirlpool has previously demonstrated resilience. In the last reported quarter, the company delivered an earnings surprise of 4.1%, surpassing the Zacks Consensus Estimate by 7.2%. This indicates that Whirlpool has the potential to outperform expectations, even in a tough economic climate.

The price-to-sales ratio is 0.26, suggesting that investors are paying 26 cents for every dollar of sales. Additionally, the enterprise value to sales ratio is 0.62, reflecting the company's valuation in relation to its revenue. The enterprise value to operating cash flow ratio is 12.37, indicating how many times the operating cash flow can cover the enterprise value. The debt-to-equity ratio is 2.73, showing that the company has more than twice as much debt as equity. Lastly, the current ratio is 0.72, suggesting potential difficulties in covering short-term liabilities with short-term assets.

• Whirlpool Corporation (NYSE:WHR) is expected to report a significant decline in earnings per share (EPS) and revenue in its third-quarter earnings.
• The company faces challenges such as a tough macroeconomic environment and inflationary pressures, impacting its financial performance.
• Key financial ratios like the price-to-earnings (P/E) ratio of 10.79 and debt-to-equity ratio of 2.40 provide insights into Whirlpool's market valuation and financial health.

Whirlpool Corporation (NYSE:WHR) is a leading global manufacturer of home appliances, known for its wide range of products including refrigerators, washing machines, and ovens. As a major player in the appliance industry, Whirlpool competes with other giants like LG, Samsung, and Electrolux. The company is set to release its third-quarter earnings on October 23, 2024, with Wall Street closely watching the results.

Analysts expect Whirlpool to report earnings per share (EPS) of $3.04, a significant 44.2% decline from the same period last year. This drop reflects the challenges Whirlpool faces, including a tough macroeconomic environment and inflationary pressures. Despite this, the consensus estimate for EPS has remained unchanged over the past month, indicating stable expectations from analysts.

Revenue projections for Whirlpool are around $4.07 billion, marking a 17.3% decrease year over year. This decline in revenue highlights the sluggish demand the company is experiencing. The market's valuation of Whirlpool's earnings is reflected in its price-to-earnings (P/E) ratio of 10.79, while its price-to-sales ratio of 0.31 suggests a relatively low market valuation compared to its revenue.

Whirlpool's financial health is further illustrated by its debt-to-equity ratio of 2.40, indicating a higher level of debt compared to equity. The current ratio of 0.96 suggests that the company has slightly less current assets than current liabilities, which could be a concern for investors. However, the company's earnings yield of 9.27% offers insight into the potential return on investment for shareholders.

As Whirlpool prepares to announce its earnings, investors and analysts will be closely monitoring these financial metrics. The company's performance in the upcoming quarter will be crucial in determining its short-term stock price movement, as historical trends show a strong correlation between earnings estimate revisions and stock performance.

Shares of Whirlpool (NYSE:WHR) surged more than 18% intra-day today following a report from Reuters indicating that German engineering group Robert Bosch is contemplating a takeover bid for the appliance manufacturer.

According to three sources familiar with the situation, it is still uncertain whether Bosch will proceed with an offer. One source mentioned that Bosch has been consulting with potential advisors about the possibility of making a bid. Whirlpool, known for its washing machines and refrigerators, currently has a market capitalization just below $4.8 billion.

This potential bid emerges as Bosch faces increasing competition from Asian companies in the home appliances market. At the same time, Whirlpool is undergoing a significant operational restructuring, having recently divested its Middle Eastern and African business units. The company owns well-known brands such as KitchenAid and Maytag.

Whirlpool Corp. (NYSE:WHR) saw its shares drop by more than 5% in pre-market today as its revenue forecast for 2024 did not meet Wall Street’s expectations.

RBC Capital analysts pointed out that the decline in the stock price was also influenced by the company's core North America margin and guidance, which fell short of already low expectations. Additionally, Whirlpool's free cash flow (FCF) remains weak.

In its Q4 report, Whirlpool posted earnings per share (EPS) of $3.85, surpassing the consensus estimate of $3.54. The company's revenue was $5.09 billion, exceeding analyst predictions of $4.98 billion.

However, the company's North America net sales for the quarter were $2.88 billion, a 1.3% increase year-over-year, but still below the anticipated $2.96 billion.

Whirlpool's EBIT for the quarter was $266 million, a significant 56% increase from the previous year, yet falling short of the expected $304.6 million.

Looking forward to 2024, Whirlpool projects its revenue to be around $16.9 billion, which is considerably lower than the consensus estimates of $17.68 billion. The company also forecasts its full-year EPS to range between $13 and $15, not meeting Wall Street’s expectations of $15.34.