Teledyne Technologies Inc. missed analyst expectations on revenue in the second quarter as the strong U.S. dollar cut into overseas sales.
The Thousand Oaks aerospace, marine and energy products manufacturer reported net income of $48 million ($1.34 a share) in the quarter ended June 28, compared with $56 million ($1.47) in the same period a year earlier. Revenue decreased 3.2 percent to $578 million.
Analysts on average expected net income of $1.33 a share on revenue of $598 million, according to Thomson Financial Network.
Revenue was impacted by the strong U.S. dollar overseas, negative foreign exchange rates and an expected decline in certain energy-related markets, Chief Executive Robert Mehrabian said, adding that most of the impacts were in the instrumentation division.
The instrumentation business had revenue of $271 million, a 1.9 percent decrease from the second quarter of last year. The imaging and aerospace and defense electronics divisions also had revenue decline in the second quarter compared to last year while the engineered systems division increased revenue by 6.2 percent to $68.6 million.
“We continue to benefit from our balanced business portfolio and the strength and diversity of Teledyne’s highly engineered products,” Mehrabian said in a prepared statement.
Shares closed down $1.29, or 1.2 percent, to $103.70 on the New York Stock Exchange.