What happened
Shares of FLIR Systems (FLIR) slumped on Tuesday after the manufacturer of sensing products reported its third-quarter results. FLIR missed analyst estimates for revenue, sending the stock down 12.8% by market close.
So what
FLIR reported third-quarter revenue of $434.9 million, down 6.4% year over year and about $11 million below the average analyst estimate. Organic revenue, which excludes revenue from acquisitions and divested businesses, increased by 3.1% year over year. FLIR has divested security businesses, which produced $43.4 million of revenue in the prior-year period.
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The industrial segment generated revenue of $177.2 million, up 3.7% year over year. The government and defense segment generated revenue of $172.0 million, up 1.4% year over year, and the commercial segment generated revenue of $85.8 million, down 30.8% year over year.
Non-GAAP earnings per share came in at $0.57, up from $0.52 in the prior-year period and in line with analyst expectations. Non-GAAP gross margin rose 330 basis points year over year, to 52.3%.
Now what
FLIR expects full-year revenue between $1.78 billion and $1.80 billion, and full-year non-GAAP earnings per share between $2.17 and $2.22.
Shares of FLIR are now roughly flat year to date after Tuesday's tumble. They're down about 27% since peaking in early September.
