According to Whirlpool (WHR) which despite the inflationary profit headwind, the appliance maker reports to be significantly profitable and sees a long runway for further profit growth. Whirlpool is crediting it to continuing to fine tune their supply chain and also taking 5% to 12% price increases earlier this year.
“We have raised prices across the globe and we feel we are in a pretty good position to mitigate the effects of raw materials,” Whirlpool Chairman and CEO Marc Bitzer said on Yahoo Finance Live. “Right now we feel like we are in a good position to deal with what we saw coming,” Bitzer added. “We have been pretty predictable in terms of raw materials and pretty stable in terms of our outlook.”
The company has also been pretty predictable in its earnings releases in 2021, with big sales gains and profits globally as the pandemic pushed people to invest in their homes. Whirlpool reported that second quarter sales and core earnings rose 31.7% and 220.8%, from the prior year.
Whirlpool is staying optimistic on the balance of the year even as it deals with ongoing demand that is still placing pressure on the product availability. The company lifted its full year sales outlook as the need for new appliance continues a lot more in the last year than any time before.
