Cleveland-based welding products and equipment maker Lincoln Electric reported its 2016 first quarter fiscal results on Tuesday, highlighted by continued large sales and profit declines.
The company posted Q1 sales of $550.7 million, down 16.3 percent year-over-year, and down 3.0 percent from Q4. Lincoln Electric said sales saw an 11.4 percent benefit from price in Q1, but was hurt by a 15.0 percent decline from foreign exchange and a 14.2 percent decline in volume.
Q1 sales in Lincon's Americas Welding segment — which comprised 69.5 percent of business — were down 18.9 percent year-over-year.
Meanwhile, Q1 profit of $53.6 million was down 21.6 percent from a year earlier, but up 10.1 percent from Q4.
"While volumes continued to compress on weak industrial demand and challenging year-over-year comparisons, cost reduction actions and solid execution of our operational and commercial initiatives significantly mitigated the impact of year-over-year declines," said Christopher Mapes, Lincoln Electric chairman, president and CEO.
The company's selling, general and administrative expenses were down 12.4 percent in Q1 from a year earlier.
