$FLS - “Flowserve’s 2017 guidance reflects our beginning backlog entering the year, an expected increase in manufacturing facility under-absorption, customer’s continued emphasis on price, and annual compensation headwinds,” said Karyn Ovelmen, Flowserve’s Executive Vice President and Chief Financial Officer. “Partially offsetting these items, we expect incremental cost savings from our realignment initiatives and relatively stable to increasing year-over-year aftermarket and book-and-ship work. We expect the quarterly phasing of our 2017 Reported and Adjusted EPS target ranges to reflect seasonality, although the traditional second half weighting is anticipated to be more pronounced this year, as the first quarter is expected to represent a substantially lower percentage of full year earnings than in past years due to expected lower revenues and elevated SG&A as compared to remaining 2017 quarters. Despite the current market challenges, we will continue to invest in our business, including executing on our realignment initiatives, to better position the company to drive long-term shareholder value.”
