Xylem, the water technologies business recently spun off from ITT Corp., reported an increase earnings in the second quarter but a decrease in revenue because of foreign currency factors, while cutting its forecast for earnings and revenue for the year.
Xylem earned $89 million, or 48 cents per share, up from $72 million, or 39 cents per share, a year earlier. Revenue fell by $5 million to $966 million.
For the first six months of the year, earnings rose by $2 million to $152 million. Per share earnings were flat at 82 cents. Revenue rose by $30 million to almost $1.9 billion.
Xylem cited the weak economy and strong dollar, which makes exports of U.S. goods less lucrative, as the reasons for the cut to its forecast. The company now predicts earnings for the year of $1.57 to $1.70 per share, down from $1.72 to $1.89 per share.
Xylem was spun off from ITT on October 31, 2011.
