Whirlpool warns of recession-level sales slump as prices rise
Whirlpool has cut its outlook after reporting a sharp fall in North American appliance sales and saying consumer demand has weakened amid the war in Iran and tariff-related cost pressure.
The company said revenue dropped nearly 10% in the quarter, while sales of major appliances in North America fell more than 7%.
It also said consumer confidence weakened in late February and March, leading many buyers to delay big-ticket purchases.
Whirlpool has raised prices by 10% and plans a further 4% increase in July.
The company said it had absorbed higher costs for some time, but that approach was no longer sustainable after posting a first-quarter loss of $82m.
The warning matters because Whirlpool is one of the best-known names in the US appliance market and produces about 80% of its major appliances at American factories.
Its latest figures suggest that higher costs and weaker demand are affecting even companies with a strong domestic manufacturing base.
Chief executive Marc Bitzer said the current decline in the North American market was similar to what had been seen during the global financial crisis and worse than in other recessionary periods.
The company said the war in Iran had contributed to what it called a recession-level industry decline.
