Briggs & Stratton Corp., Milwaukee, reported fiscal 2012 consolidated net sales of $2.1 billion, a decrease of 2.1 percent from fiscal 2011. Fourth quarter fiscal 2012 consolidated net sales were $501.2 million, or 17.2 percent lower than the fourth quarter of fiscal 2011.
Fiscal 2012 consolidated net income was $29.0 million, an increase of 19.1 percent from fiscal 2011. Fiscal 2012 fourth quarter consolidated net loss was $8.4 million, an improvement of 52.8 percent from the fourth quarter of fiscal 2011.
Adjusted net income for fiscal 2012 was $57.8 million, which was $5.4 million lower than fiscal 2011 adjusted net income. Adjusted net income for the fourth quarter of fiscal 2012 was $10.8 million, which was $5.7 million lower than the fourth quarter of fiscal 2011 adjusted net income.
“This lawn and garden season presented significant headwinds for our two largest markets, North America and Western Europe,” said Todd Teske, chairman, president and CEO of Briggs & Stratton. “The exceptionally severe drought negatively impacted sales to much of North America and more than offset the favorable growing conditions present in the early spring. In addition, consumer sentiment in North America and Europe remains very cautious.”
Engines Segment fiscal 2012 fourth quarter net sales were $322.5 million, which was $69.8 million or 17.8 percent lower than the fourth quarter of fiscal 2011. The company said this decrease in net sales was primarily driven by a 19 percent reduction in shipment volumes to lawn and garden OEMs in the North American and European markets, resulting from drought conditions in North America and economic uncertainty in Europe.
The company said these conditions led to reduced consumer purchases of lawn and garden equipment. In addition, the company's sales were impacted by an unfavorable mix of engines sold that reflected proportionately lower sales of units used on riding lawn mowers and an unfavorable foreign exchange of $1.2 million, partially offset by improved engine pricing.