Whirlpool reports fall in shipments, earnings

Whirlpool reported early Monday (April 27) that it expects unit shipments in its North American region to drop as much as 12% in 2009, up from a previous top estimate of 10%.

The downturn in product sales is a key reason Whirlpool has reduced employment at its Fort Smith plant from about 4,500 in early 2006 to about 1,400 today.

The shipment report was part of the company’s first-quarter earnings report. Total sales for the global appliance maker reached 3.56 billion in the January to March period, a 23% decline from the same period in 2008. Net income was $73 million, down 27% from the 2008 period.

First-quarter sales in North America were $2.1 billion, down 20% from the same period on 2008. U.S. industry unit shipments of major appliances declined 16% during the first quarter, Whirlpool noted in its statement.

“Based on current economic conditions, the company expects full-year 2009 U.S. industry unit shipments to decline approximately 10 percent to 12 percent from 2008 levels compared with its previous expectation of a 10 percent decline,” according to the earnings statement.