A.O. Smith forecasts annual profit below estimates on weak China, North America sales

April 30 (Reuters) - A.O. Smith AOS.N forecast annual profit below Wall Street estimates on Thursday, hit by sluggish demand for water heaters across its key markets in China and North America.

Higher raw material costs linked to tariffs imposed by U.S. President Donald Trump's administration have continued to weigh on the company's margins, adding to pressure amid slowing demand.

• CEO Steve Shafer said that performance in North America was affected by weaker-than-anticipated demand for residential water heaters and temporary weather-related disruptions at the company's Ashland City, Tennessee facility.

• Shares of the water-treatment equipment maker fell nearly 4% in afternoon trading.

• The Milwaukee, Wisconsin-based company expects 2026 adjusted profit per share of $3.70 to $4.00, the midpoint of which is below analysts' expectations of $3.98, according to data compiled by LSEG.

• First-quarter sales in other parts of the world, including China and India, fell 11% from a year earlier to $200.7 million.

• Total quarterly revenue slid 2% from a year earlier to $945.6 million, missing analysts' expectations of $977.7 million.

• Net income for the quarter stood at $118 million, or 85 cents per share, compared with $136.6 million, or 95 cents per share, a year earlier. Analysts had forecast earnings of 94 cents per share on average.