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What: Shares of Brunswick (NYSE:BC) were riding higher today, jumping as much 13% today after a strong earnings report.
So what: The boat-engine and sporting-goods maker said net income jumped 25%, as it beat earnings estimates by $0.13 with per-share profit of $0.76. Revenue was up only 3.7%, however, slightly below analyst consensus. Sales grew on higher demand for marine products and accessories, as well as for fitness equipment; however, a decline in fiberglass and bowling products counteracted the gain. A lower tax rate was the primary for the strong earnings growth.
Now what: Brunswick also upped its full-year EPS guidance to a range of $2.30 to $2.50, from a ranger of $2.20 to $2.45, on the strength of today's report, but that was primarily on the strength of the last quarter. Considering that a majority of the gains came from the lower tax rate, investors shouldn't expect to see a repeat performance next quarter. Shares ended the day up 5.9%, after a fast start, which seems to be an accurate of today's earnings beat. To get more on Brunswick, just add the company to your Watchlist here .
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