Positive surprises
After the market closed, Varian Semiconductor Equipment Associates (VSEA: news, chart) reported a first-quarter loss of $12 million, or 37 cents a share, excluding Lam royalty and license revenue. Analysts polled by Thomson Financial/First Call anticipated a 39-cent loss. Including Lam, the company earned $5 million, or 15 cents a share. Revenue, including $28 million from Lam, totaled $78 million for the latest quarter. In the year-ago period, the company earned $41 million, or $1.21 a share, on revenue of $226 million. Shares closed up $2.38 to $35.48 ahead of the news.
After the market closed, photonic processors company Avanex (AVNX: news, chart) reported a second-quarter loss of $6.5 million, or 10 cents a share, excluding one-time items. Analysts polled by First Call expected a loss of 11 cents a share. Revenue for the quarter totaled $8.3 million, compared with the year-ago total of $47.9 million. Including one-time items, the company lost $18.8 million, or 29 cents a share, in the latest quarter compared with the year-ago loss of $11.3 million, or 20 cents a share. There is a slight improvement in short-term visibility in the company's business sector, but volatility and uncertainty remain high," noted Paul Engle, president and chief executive officer. Avanex expects third-quarter revenue to range between $9 million and $10 million with a pro forma loss of 12 cents a share. Analysts currently expect an 11-cent loss. Shares closed down 26 cents to $4.35 ahead of the news.
The communications chipmaker Broadcom (BRCM: news, chart) lost of $329.6 million, or $1.27 a share, in the fourth quarter, compared with a loss of $1.62 billion, or $6.36 in the third quarter and year-ago loss of $768.3 million, or $3.28 a share. Excluding charges, the loss totaled $28.8 million, or 11 cents a share. That compares with the third-quarter loss of $34 million, or 13 cents a share. In the year-ago period, the company posted a profit of $58 million, or 21 cents a share. The 24 analysts surveyed by Thomson Financial/First Call expected a loss, excluding charges, of 12 cents a share on revenue of $221.6 million, on average. See full story.
Excluding unusual items, Akamai Technologies (AKAM: news, chart) reported a fourth-quarter loss of $37.8 million, or 35 cents a share, beating the consensus estimate of a 39-cent loss. Revenue for the quarter totaled $37.1 million, down slightly compared with the year-ago total of $37.2 million. Including items, the company lost $64.8 million, or 60 cents a share, compared with a loss of $303 million, or $3.16 a share, in the year-ago period. Shares closed down 6 cents to $4.06 ahead of the news. See full story.
Software company WebMethods (WEBM: news, chart) reported a third-quarter loss, including amortization and other charges, of $13.9 million, or 28 cents a share, compared with the year-ago loss of $12.7 million, or 27 cents a share. Excluding items, the company lost $2.6 million, or 5 cents a shares. Analysts polled by First Call expected the company to lose 17 cents a share. Revenue for the quarter totaled $49.1 million compared with $59.4 million in the year-ago period. Shares closed up $1.57 to $21.77 ahead of the news.
Activison (ATVI: news, chart) reported third-quarter net income of $39.1 million, or 66 cents a share, compared with the year-ago total of $20.5 million, or 45 cents a share. The latest quarter beat the consensus estimate by 8 cents a share. Revenue for the latest quarter totaled $371.3 million, up 40 percent compared with the year-ago total of $264.3 million. Activision increased its fiscal year 2002 earnings per share forecast from 73 cents to 82 cents a share. Analysts currently expect a full-year profit of 73 cents a share. The company also raised its revenue forecast from $725 million to $765 million. For fiscal year 2003, Activision increased its revenue target from $810 million to $845 million and its earnings per share from 85 cents to 94 cents. Analysts have been expecting a profit of 86 cents a share. Shares closed up 40 cents to $24.80.
Corning (GLW: news, chart) posted a pro forma loss of $261 million, or 28 cents a share, for the fourth-quarter. Analysts polled by First Call had been expecting a loss of 29 cents a share. Including one-time items, the company's loss for the quarter was $655 million, or 69 cents per share, compared with a loss of $58 million, or 8 cents per share, a year ago. The results include $109 million in charges, after-tax. The Corning, N.Y.-based optical fiber and cable maker said sales for the quarter were $974 million, less than half of the $2.1 billion reported the same time last year. Shares closed at $8.32, down 14 cents. See full story.
KLA-Tencor (KLAC: news, chart) reported fiscal second-quarter net income of $49 million, or 25 cents a share, on revenue of $404 million. During the same period last year, net income was $78 million, or 41 cents a share, on revenue of $501 million. Analysts surveyed by Thomson Financial/First Call expected earnings of 24 cents a share on revenue of $380.3 million, on average. Ahead of the announcement, KLA shares ended up $3.64, or 7.6 percent, to $51.50. See full story.
Chipmaker LSI Logic reported a fourth-quarter loss but said it's on track to return to profitability in the second half of 2002. The company (LSI: news, chart) recorded a loss of $250 million, or 68 cents a share. In the year-ago period, the company earned $61.7 million, or 18 cents a share. Excluding goodwill amortization and other special items, LSI posted a loss of $74 million, or 20 cents, for the latest quarter, beating the consensus estimate by 4 cents. Revenue came to $406 million, down 46 percent from last year's $751 million and lighter than expectations. LSI said it expects revenue to increase by up to 3 percent in the first quarter from the fourth quarter, which would beat current projections of $408.6 million. The pro forma loss should be 14 cents a share vs. the 20 cents forecasted at present. Shares of LSI were up 29 cents to $14.24 ahead of the news. See full story.
Amgen posted net income of $163 million, or 15 cents per share, compared with $210 million, or 19 cents per share, in the 2000 fourth quarter. Excluding charges related to the termination of partnerships, the No.1 biotech firm said earnings were 30 cents per share. Amgen had been expected to earn 31 cents per share, according to the average estimate of analysts polled by Thomson Financial/First Call. Ahead of the announcement, shares of Amgen (AMGN: news, chart) rose $2.40 to $58.46. See full story.
Flextronics said it earned $85 million, or 17 cents a share, down from $122.7 million, or 26 cents, a share last year. The contract manufacturing electronics company brought in revenue of $3.45 billion, up from $3.24 billion in the year-ago period. Analysts polled by Thomson Financial/First Call forecast Flextronics to bring in 16 cents a share. Shares (FLEX: news, chart) ended the day up $1.93 to $23.72.
Siebel Systems (SEBL: news, chart) increased its net income from the same period last year, beating analyst earnings expectations with help from cost cuts. For its December quarter, the sales software firm's net income was $65.9 million or 13 cents share, compared with net income of $35.2 million or 7 cents a share in the 2001 quarter. Analysts had expected adjusted earnings of 9 cents a share, according to a survey of analysts conducted by Thomson Financial/First Call. Shares of Siebel rose $2.18, or 7 percent, to close at $34.80 in regular Nasdaq trading.
ExxonMobil (XOM: news, chart) reported fourth-quarter earnings before items of $2.88 billion, or 42 cents a share, 3 cents ahead of the average estimate of analysts polled by Thomson Financial/First Call. Including items, the Irving, Texas, oil and gas giant earned $2.68 billion, or 39 cents a share, compared with a profit of $5.22 billion, or 75 cents a share, in the same period last year. Revenue dropped to $47.3 billion compared with $64.1 billion in the same period a year earlier. Shares of the Dow component closed up 88 cents to $38.90. See full story.
Norfolk Southern (NSC: news, chart) reported fourth-quarter net income of $115 million, or 30 cents per share vs. the year-ago figure of $5 million, or a penny per share, including a work-force reduction charge of $39 million, or 10 cents per share. Fourth-quarter results include an after-tax gain of $12 million, or 3 cents per share, from the sale of a real estate parcel. Without the gain, the company's fourth quarter earnings were 27 cents per share, ahead of the forecast of 23 cents per share in a survey of analysts by Thomson Financial/First Call. Shares of Norfolk Southern rose 28 cents to close at $20.
Tellabs (TLAB: news, chart) posted a fourth-quarter loss of $80 million, or 20 cents per share, vs. a gain of $295 million, or 72 cents per share in the year-ago period. The company posted pro forma fourth-quarter earnings of 3 cents per share and net income of $14 million, up from the previous quarter. The latest number beat the forecast for earnings of 2 cents per share in a survey of analysts by Thomson Financial/First Call. The stock traded up 29 cents to close at $15.36.
Fortune Brands (FO: news, chart) reported fourth-quarter earnings of $128.8 million, an improvement over its loss of $372.7 million in the same period a year earlier. These results reflect a number of one-time items in both periods. On a per share basis, the Lincolnshire, Ill., consumer brands firm said it earned 78 cents before items. Analysts polled by Thomson Financial/First Call were looking for a profit of 74 cents a share. Looking ahead to 2002, the company forecast earnings in line with the current Wall Street analysts' range of $2.84 to $3.06 per share, For the first quarter, Fortune Brands sees its profit at the high end of Wall Street expectations of 45 cents to 51 cents a share. These estimates reflect the impact of the adoption of new accounting standards. Shares closed up $1.11 to $38.72. See full story.
Consolidated Graphics (CGX: news, chart) reported third-quarter earnings of $3.6 million, or 27 cents a share, down compared with a profit of $5.5 million, or 42 cents a share, in the same period a year earlier. The latest results beat the consensus estimate by 2 cents a share. Sales slipped to $153.8 million compared with $160.2 million in year-ago period. The company said revenue was hurt in the quarter by soft commercial printing demand, and competitive pressures. Consolidated Graphics forecast modest sequential improvements in revenue and earnings in the fourth quarter if current market conditions persist. The shares closed up 24 cents to $19.90.
Motorola said it lost money in the fourth quarter as sales fell 25 percent but reiterated its previous prediction that it will return to profitability in the second half of 2002. The giant manufacturer of wireless phone and communications chips said it lost $1.2 billion, or 55 cents a share, compared with net income of $135 million, or 6 cents, in the year-ago fourth quarter. Excluding one-time items, the company said loss from operations totaled $90 million, or 4 cents a share. Motorola (MOT: news, chart) was expected to lose a revised 5 cents a share, according to the consensus of analysts surveyed by Thomson Financial/First Call. Shares closed up 3 cents to $13.56. See full story.
Leather goods company Coach (COH: news, chart) said its second quarter net income rose to 99 cents per share compared with last year's 88 cents. The results were 3 cents ahead of the Wall Street consensus estimate, according to First Call. The firm's revenue totaled $236 million compared with $211 million a year ago. Looking ahead, the company said it expects sales to total at least $685 million for its fiscal year 2002, and expects to earn "at least" $1.73 per share for the full year. Analysts currently expect a profit of $1.69 a share, on average. Shares closed up 77 cents to $43.
Emulex (EMLX: news, chart) reported second-quarter earnings of $10.8 million, or 13 cents a share, excluding one-time items, beating the consensus estimate of 9 cents a share. Including items, the company lost $28.3 million, or 35 cents a share. In the year-ago period, the company earned $19.4 million, or 25 cents a share. Revenue totaled $62.2 million, exceeding the company's expectation but lower than the year-ago total of $71.1 million. The company supplies and develops storage and servers. Shares closed up 14 percent to $44.13. See full story.
Vitesse Semiconductor (VTSS: news, chart) said it lost $106.9 million, or 54 cents a share, including charges, while last year the company brought in a profit of 15 cents a share. On a pro forma basis, Vitesse lost $24.3 million, or 12 cents a share in the first quarter, 1 cent a share less than analysts had forecast. Revenue came in at $39.1 million, down 76 percent compared with $165.1 million in the year-ago quarter. In the year-ago period, the company earned $47.6 million, or 26 cents a share. Shares closed down 74 cents to $11.62.
Computer reseller CDW Computer Centers (CDWC: news, chart) reported fourth-quarter earnings of $42 million, or 47 cents a share, beating the consensus estimate and the year-ago total by a penny. Sales for the quarter totaled $988 million, down compared with $1 billion in the year-ago period. Analysts expected revenue to come in at about $981 billion for the latest quarter. The company also said it expects a first-quarter profit for 2002 of between 43 cents and 47 cents a share, with revenue of between $975 million and $1.03 billion. Analysts polled by Thomson Financial/First Call currently expect a first-quarter profit of 47 cents a share. The stock closed up $1.30 to $53.10.
Mercury Interactive (MERQ: news, chart) beat analyst expectations on a pro forma basis with fourth-quarter earnings of $12.1 million, or 14 cents a share, down from $25.8 million, or 28 cents a share a year ago. Analysts had expected 12 cents a share. Including charges, income came in at $15.8 million, or 18 cents a share. The software maker posted revenue of $90.3 million, down from $97.5 million a year earlier. "Despite a difficult economic environment, we grew revenue by 18 percent in 2001, strengthened our position in the testing market and cemented early leadership in the performance management market," said CEO Amnon Landan. Shares closed up 22 percent to $35.86.
FreeMarkets Inc. reported a fourth-quarter profit that erased a deficit it took in the same period last year and easily exceeded Wall Street's expectations. The company also said first-quarter earnings should be slightly better than current forecasts. FreeMarkets, a maker of electronic sourcing software, said profit from operations came to $3.9 million, or 9 cents a share, compared with a loss of $10.4 million, or 27 cents, in the year-ago period. Analysts polled by Thomson Financial/First Call were looking for a profit of 6 cents a share in the latest quarter. Shares (FMKT: news, chart) closed up $3.80 to $22.10.
Chip equipment maker Novellus (NVLS: news, chart) reported fourth-quarter net income of $17.2 million, or 12 cents a share, on revenue of $200 million. During the same quarter last year, net income was $93.9 million, or 64 cents a share, on revenue of $442.7 million. Novellus was expected to earn 11 cents a share on revenue of $201 million, according to the average estimate of analysts surveyed by Thomson Financial/First Call. Shares closed up $3.42 to $39.65.
Excluding one-time items, software company Computer Associates (CA: news, chart) said it earned $417 million, or 71 cents a share, for the third quarter compared with the year-ago total of $247 million, or 42 cents a share. Analysts expected a profit of about 60 cents a share, according First Call. Including items, Computer Associates reported a loss of $231 million, or 40 cents a share, vs. a loss of $342 million, or 59 cents a share, in the same period a year ago. Sales were $749 million, compared with $783 million a year ago. Shares closed up $3.08 to $37.98. See full story.
Fairchild Semiconductor (FCS: news, chart) said it lost 16 cents a share, or $16.2 million, in the fourth quarter though last year it earned 92 cents a share, or $93.7 million. That figure includes a $11.2 million charge. On a pro forma basis, the chip firm broke even in the fourth-quarter. Analysts polled by Thomson Financial/First Call had forecast a per-share loss of 4 cents a share. Last year, the company earned 76 cents a share, or $76.9 million. Revenue came in at $324.6 million, down from $468.8 million last year. Shares closed up $1.52 to $25.35.
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