LONDON, UK / ACCESSWIRE / May 7, 2018 /If you want access to our free earnings report on Lincoln Electric Holdings, Inc. (NASDAQ: LECO) (''LECO''), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=LECO. The Company reported its first quarter fiscal 2018 operating and financial results on April 23, 2018. The manufacturer of specialized welding products and other equipment outperformed top- and bottom-line expectations. Register today and get access to over 1000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Lincoln Electric Holdings most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

For the first quarter of the fiscal year 2018, Lincoln Electric's sales surged 30.4% to $757.7 million, due to an 18.3% benefit from acquisitions, 5.2% higher volumes, a 4.2% increase in price, and 2.7% favorable foreign exchange. The Company reported sales of $580.9 million in Q1 2017. Lincoln Electric's sales beat analysts' estimates of $730.8 million.

During Q1 2018, Lincoln Electric's operating income was $85.2 million, or 11.2% of sales, compared to an operating income of $79.4 million, or 13.7% of sales, in Q1 2017. On an adjusted basis, the Company's operating income increased 17.2% to $97.3 million, or 12.8% of sales, compared to $83.0 million, or 14.3% of sales, in the prior year's same period. The Air Liquide Welding acquisition had an unfavorable 110 basis point impact to the Company's adjusted operating income margin.

Lincoln Electric reported a net income of $60.8 million, or $0.92 per diluted share, in Q1 2018 compared to $55.8 million, or $0.84 per diluted share, in Q1 2017. The Company's reported quarter results included a special item of after-tax charges of $12.5 million, or $0.18 per share.

For Q1 2018, excluding non-recurring items, the Company's adjusted net income surged 25.1% to $73.3 million, or $1.10 per diluted share, compared to $58.6 million, or $0.88 per diluted share, in Q1 2017. The Company's earnings exceeded Wall Street's estimates of $1.08 per share.

Segment Results

During Q1 2018, Lincoln Electric's Americas Welding segment's sales totaled $434.8 million. The segment's adjusted earnings before interest and taxes (EBIT) rose 12.7% to $77.4 million in the reported quarter. The segment's adjusted EBIT margin declined 10 basis points to 16.8% on rising raw material costs, and higher incentive compensation and wage costs.

For Q1 2018, Lincoln Electric's International Welding segment's sales were $247.3 million. The segment's adjusted EBIT soared 55.9% to $15 million, due to the addition of Air Liquide Welding and a growth in the Asia/Pacific region. The segment's adjusted EBIT margin declined 130 basis points to 5.9% because of the acquisition. Excluding the acquisition, the segment's adjusted EBIT margin was 7.1%, representing a 10-basis point decline versus the prior year. Lincoln Electric's organic sales increased 1.7%, with 5.4% higher prices and a 3.7% decline in volumes.

Lincoln Electric's Harris Products segment's sales were $75.6 million. The segment's EBIT margin was almost unchanged at 11.9% in the reported quarter, as volumes increased 9.3% from solid demand across all sales channels, offset by an unfavorable price and mix.

Cash Matters

Lincoln Electric generated cash flow from operations of $44 million in Q1 2018, as working capital needs increased with the higher sales growth rates, and the addition of Air Liquide Welding. Excluding Air Liquide Welding, the Company's average operating working capital ratio was 16.5%, a 60-basis point improvement versus the prior year's same period.

Lincoln Electric returned $40 million to shareholders in Q1 2018, with 11% higher dividend payout rate, and $15 million in share repurchases. The Company used $15 million in capital expenditure and $5 million for the small bolt-on acquisitions during the reported quarter. For FY18, the Company is estimating full-year capital spending to be in the range of $60 million to $70 million.

Stock Performance Snapshot

May 04, 2018 - At Friday's closing bell, Lincoln Electric's stock climbed 1.64%, ending the trading session at $85.29.

Volume traded for the day: 172.54 thousand shares.

After last Friday's close, Lincoln Electric's market cap was at $5.48 billion.

Price to Earnings (P/E) ratio was at 20.04.

The stock has a dividend yield of 1.83%.

The stock is part of the Industrial Goods sector, categorized under the Small Tools & Accessories industry. This sector was up 1.0% at the end of the session.

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