Armstrong World 1st-quarter profit falls in weak environment

LANCASTER, Pa.—Armstrong World Industries Inc., which makes flooring and building products, said Friday first-quarter profit fell 42 percent amid a difficult construction and housing environment.

Quarterly profit fell to $15.2 million, or 27 cents per share, compared with a profit of $26 million, or 46 cents per share, last year. Adjusted earnings from continuing operations totaled 35 cents per share.

Analysts, on average, predicted a profit of 30 cents per share, according to Thomson Financial.

Revenue fell 4 percent to $828.2 million from $863.4 million last year. Analysts expected a profit of $833.3 million. Excluding the benefit of a weaker dollar, revenue fell 7 percent.

Results reflect a decline in the U.S. residential housing market and a slowdown in the U.S. commercial construction market, leading to lower volume, and the timing of some expenses, the company said.

Rising raw material costs were offset by price increases.