Johnson Controls Falls Most Since 2012 on Quarterly Forecast

Jan 23, 2014 4:18 pm ET

(Updates with closing share price in second paragraph.)

Jan. 23 (Bloomberg) -- Johnson Controls Inc., the largest U.S. auto-parts maker, fell the most since July 2012 after forecasting second-quarter earnings that were lower than some analysts had estimated.

The shares declined 4.4 percent today to close at $49.30 in New York, after the maker of building-efficiency equipment and services forecast earnings where the lower end of the range trailed estimates.

Johnson Controls is reconfiguring the company to focus on its building-efficiency unit, lessening a dependence on the cyclical automotive industry. The Milwaukee-based company last week agreed to sell its automotive-electronics business to Visteon Corp. and is considering options for its unprofitable auto-interiors unit, which makes door and instrument panels.

Johnson Controls, which also makes seats and batteries for automobiles, said profit this quarter will be in a range of 64 cents to 66 cents, according to a statement. That compared to an average estimate of 66 cents from 20 analysts, according to data compiled by Bloomberg.

Johnson Controls reaffirmed its annual forecast for profit of $3.15 to $3.30 a share. Analysts estimate $3.27.

--Editors: Niamh Ring, John Lear