Earnings Preview: Johnson Controls

Johnson Controls (JCI) is scheduled to report Q2 results before market open on Thursday, July 17, with a conference call scheduled for 11:00am ET.

Guidance

Analysts are looking for the company to post a Q2 profit of 74c on sales of $9.78B. The consensus range is 63c to 76c for EPS with a range of $9.22B to $10B for revenue, according to First Call.

Analyst Views

Possible revenue drivers include more overseas business and the continuing strength in the facilities management businesses, as outsourcing trends continue. Possible hindrances to earnings include a contraction of business in the U.S., resulting from a slowing economy and higher raw materials costs. On April 16, the company confirmed its full-year 2008 earnings guidance of 18% year-over-year growth.

On July 2, Baird maintained its Market Overweight rating for the sector with Johnson Controls as one of the firms "Top Supplier Ideas."