Myers Industries (NYSE: MYE) reported Q1 EPS of $0.22, $0.02 better than the analyst estimate of $0.20. Revenue for the quarter came in at $122.3 million versus the consensus estimate of $138.4 million.

2020 Outlook:

“As a result of the uncertainty related to the duration and extent of the potential impacts of COVID-19, and the lack of visibility we have going forward due to how quickly things are changing, we are withdrawing our 2020 earnings per share guidance that we provided during our fourth quarter 2019 earnings call,” said Mr. McGaugh. “That being said, we will continue to provide quarterly updates regarding sales trends and our revised outlook for end markets.”

The Company now expects total revenue to decline approximately 10% year-over-year in 2020, down from its previous guidance of a mid-single-digit percentage increase. The Company also anticipates that sales will be down approximately 20% year-over-year in the second quarter, with approximately 60% of the decline in the second quarter coming from continued sales decreases in the Company’s food and beverage, industrial and vehicle end markets. The remainder of the decline is expected to come from sales decreases in the auto aftermarket end market, where sales dropped off significantly in the last couple weeks of March and continued to decline in the second quarter. The Company is still anticipating that depreciation and amortization will be approximately $21 million, net interest expense will be approximately $4 million, the effective tax rate will be approximately 27%, and capital expenditures will be approximately $15 million.

“In spite of the short-term headwinds due to the COVID-19 pandemic, I remain optimistic about Myers’ longer-term growth prospects. We are a solid, well-operated company with a strong balance sheet. I believe these attributes will be a tailwind for Myers as the economy begins to re-start, and we continue to focus on executing our strategies to deliver profitable revenue growth,” said Mr. McGaugh.

For earnings history and earnings-related data on Myers Industries (MYE) click here.