Rockwell Collins' Revenue Outlook Falls Shy Of Forecasts

Rockwell Collins Inc. said it expects fiscal 2016 revenue of $5.3 billion to $5.4 billion, below the FactSet consensus of $5.44 billion, as the avionic electronics and communications company is still experiencing weak market conditions in business aviation. "At this time, we don't expect to see these conditions improve significantly in the next year so we are re-setting our near-term expectations for that business," said Chief Executive Kelly Ortberg. The company expects 2016 business and regional jet original equipment manufacturing sales to decline in the low double-digit percentage range from fiscal 2015, and aftermarket sales to grow "fairly modestly." The company expects 2016 earnings per share of $5.20 to $5.40, including a restructuring charge of 10 cents to 15 cents. The FactSet consensus is $5.45. The stock, which is still inactive in premarket trade, has gained 1% year to date, while the S&P 500 has lost 3.3%.