Armstrong World Industries (Lancaster, Pa.) now expects 2014 sales to be in the range of $2.6 billion to $2.7 billion and its EBITDA, to be in the range of $355 million to $375 million when it releases its third quarter results Oct. 27.
Both revisions are lower than the market outlook released in July, which expected sales in the range of $2.7–$2.8 billion and EBITDA in the range of $370 to $400 million.
In having to lower expectations, the company identifies intensifying price pressure and capacity utilization challenges in its European flooring business; an unexpectedly fast shift to LVT and away from traditional resilient products in North America; and continued price pressure and competition in the wood business in general.
"Unfortunately, our outlook for 2014 does not align with our prior expectations, which is disappointing for all of us," said Matt Espe, CEO, in a statement.
