Earnings Preview: FLIR Systems

FLIR Systems (FLIR) is expected to report Q4 earnings Thursday with a conference call scheduled for 9:00 am ET.

Guidance

The consensus estimate is 30c for EPS and revenue $233.78M, according to First Call. Consensus estimates are in-line with the company's guidance provided after the Q3 report. In October FLIR set Q3 quarterly records for orders, backlog, and revenue, noted company CEO Earl Lewis. He also said, based on those results, and expectations for the remainder of the year, that they were increasing guidance for the year. Net revenues in FY07 were projected in the range of $755M to $770M, and net earnings $300M to $400M, a year-over-year improvement of over 30%.

In addition, Lewis anticipated the launch of new products in the Thermography division in 1Q08, to support further growth in the industrial market, partially offsetting what they believe will be secular weakness due to slowing economic conditions in the U.S. and Europe.

Analyst analysis

Typical with past guidance metrics, JMP Securities said the company will provide conservative 2008 estimates and likely guide top line up ~20% year-over-year, and EPS growth of ~20% year-over-year.

Key issues for the conference call: An update on recent contract/order awards, an outlook on government spending.