Tuesday, March 24
Jabil Circuit loss almost doubles to $42.1 million(4:19 pm ET)
SAN FRANCISCO (MarketWatch) -- Jabil Circuit Inc. (JBL: news, chart, profile) on Tuesday reported a fiscal second-quarter loss of $42.1 million, or 20 cents a share, compared with a loss of $24 milion, or 12 cents a share in the same period a year ago. Excluding one-time items, Jabil reported core earnings of $27.3 million, or 13 cents a share. Revenue declined by 5.6% to $2.9 billion from $3.06 billion a year ago. Analysts surveyed by FactSet Research had forecast the company to earn 13 cents a share on $2.8 billion in sales. For its fiscal third quarter, Jabil estimates it will lose between 7 cents and 23 cents a share on revenue in a range of $2.5 billion to $2.7 billion.
Carnival earnings per share up 10% in quarter(9:30 am ET)
NEW YORK (MarketWatch) -- Carnival Corp. (CUK: news, chart, profile) said Tuesday that first-quarter earnings were $260 million, or 33 cents a share, compared to $236 million, or 30 cents a share, in the same period a year ago. Revenue fell to $2.22 billion compared to $3.15 billion. Analysts polled by FactSet Research estimated, on average, earnings per share of 18 cents and sales of $2.87 billion. The company sees 2009 revenue falling by 10% to 12% compared to a previous estimate of 6% to 10% in the cruise line's December guidance as a result of the further deterioration in the U.S. and European economies.
McCormick earnings per share up 13% in quarter(7:19 am ET)
NEW YORK (MarketWatch) -- McCormick & Co. (MKC: news, chart, profile) said Tuesday that first quarter earnings rose to $58 million, or 44 cents a share, compared to $51 million, or 39 cents a share, in the same period a year ago. Sales inched lower to $719 million compared to $724 million. Analysts polled by FactSet Research estimated, on average, earnings per share of 44 cents and sales of $757 million. The spice company reaffirmed its earnings per share guidance for 2009 of $2.24 to $2.28 which includes 5 cents of restructuring charges.
Report: Schlumberger cutting another 6,000 jobs(7:16 am ET)
NEW YORK (MarketWatch) -- Schlumberger (SLB: news, chart, profile) CEO Andrew Gould said late Monday at the Howard Weil Energy Conference in New Orleans that the company -- which is the largest oilfield service firm -- is cutting another 6% of its work force in its second round of layoffs since January, according to published reports. Gould said the company expects "a further reduction of a similar amount" in coming months after the original cut in January of 5,000, or 6%, of the company's 84,000 employees. He didn't provide a timetable for the next phase of layoffs.
Newell Rubbermaid to cut dividend, issue $250 mln of notes(6:24 am ET)
LONDON (MarketWatch) -- Newell Rubbermaid Inc. (NWL: news, chart, profile) said Tuesday that it will cut its quarterly dividend by more than half to 5 cents a share from 10.5 cents a share to help maintain its current investment grade rating. The group also said it will offer $250 million of convertible senior notes that will be used to repay a portion of the roughly $750 million in debt that matures in the second half of 2009. The firm said it plans to address its remaining debt obligations through the capital markets or other arrangements. Newell Rubbermaid reaffirmed its guidance for normalized earnings per share of 7 cents to 12 cents for the first quarter of 2009. It expects first-quarter sales, however to fall in the mid- to high-teens having previously forecast a decline in the low- to mid-teens.
BOC Hong Kong 2008 profit slumps 78%, omits dividend(5:18 am ET)
HONG KONG (MarketWatch) -- BOC Hong Kong (Holdings) (HK:2388: news, chart, profile) Tuesday reported a 78% slump in 2008 profit on write-downs linked to its investments and said it won't pay a final dividend to preserve capital. Net income attributable to shareholders fell to HK$3.34 billion ($428 million), or HK$0.3162 a share, from HK$15.45 billion. The bank's total assets increased 7.5% during the year to HK$1.15 trillion, while the ratio of impaired loans edged up to 0.45% from 0.44% in 2007. The shares rose 6.6% before the announcement.
Bank of China 2008 net income up 14.4% to $8.30 billion(5:06 am ET)
HONG KONG (MarketWatch) -- The Bank of China (HK:3988: news, chart, profile) reported Tuesday 2008 net income of 64.36 billion yuan ($8.30 billion), or 0.25 yuan per share, compared to 56.25 billion yuan, or 0.22 yuan per share in the prior year. Operating profit totaled 86.45 billion yuan compared to 89.43 billion yuan. Impairment losses on assets climbed to 45.03 billion yuan compared to 20.26 billion yuan. Analysts had expected net income of 70.19 billion yuan.
Deutsche Bank says it doesn't need capital, sees 2009 profit(3:52 am ET)
LONDON (MarketWatch) -- Germany's Deutsche Bank (DE:DBK: news, chart, profile) (DB: news, chart, profile) said Tuesday that it expects to return to profitability in 2009 and doesn't currently see any need to raise capital from any external source after making a good start to the year. The bank said, however, that "very difficult conditions" are likely to persist for the industry in 2009 as revenues will be hit by softening demand from the slower economy, restrictions on credit and wariness among investors. "In 2010, some degree of recover in the banking industry is foreseeable," Deutsche Bank said.
ArcelorMittal launches $1 billion convertible bond(3:27 am ET)
LONDON (MarketWatch) -- ArcelorMittal (MT: news, chart, profile) (FR:MTP: news, chart, profile) , the world's top steelmaker, said it's launching a 750 million euro ($1 billion) convertible bond as part of its strategy to diversify its sources of funding and to lengthen its debt maturity profile. It still sees first-quarter EBITDA of around $1 billion, which it says could be in a range 15% below to 15% above. Analysts polled by FactSet expected a first-quarter EBITDA of $933 million.
Lloyd's of London pretax profit down 51% (3:26 am ET)
LONDON (MarketWatch) -- Lloyd's of London, the U.K. insurance and reinsurance market, said Tuesday that its 2008 pretax profit fell 51% to 1.9 billion pounds ($2.8 billion) from 3.85 billion pounds as its investment return dropped 52% to 957 million pounds. The market said its combined ratio -- a measure of claims against premium -- rose to 91.3% from 84%. A value over 100% indicates more money was paid out than was received in premiums. But the group said the ratio compared favourably with an estimated average of 97% for European insurers and reinsurers. "The market has inevitably been impacted by significant claims from natural catastrophes, lower insurance rates and a reduction in investment income but this has been partially offset by currency movements and prior year surpluses," the group said. The surplus on prior year reserves rose 48% to 1.27 billion pounds.
Ferrexpo profit more than doubles as pellet prices soar(3:22 am ET)
LONDON (MarketWatch) -- Ferrexpo (UK:FXPO: news, chart, profile) , the Swiss-headquartered, U.K.-listed, Ukraine iron ore pellet maker, said its annual profit climbed to $292 million from $124 million, with revenue up 60% to $1.12 billion, as the average pellet price rose 72%. It said it's trading profitably since the economic downturn. It's paying a dividend of 3.3 cents a share, in either dollars or sterling, and said the outlook for the iron ore market remains uncertain in the short term. It maintained positive margins during the first two months of 2009. Analysts polled by FactSet forecast a profit of $230 million.
Swiss Life reaches deal on stake, MLP with Talanx(2:57 am ET)
LONDON (MarketWatch) -- Swiss Life (CH:SLHN: news, chart, profile) said it's agreed on a partnership with German insurer Talanx, under which Talanx will take up to a 9.9% stake in Swiss Life and take an 8.4% stake in German pension specialist MLP (DE:659990: news, chart, profile) from Swiss Life. Financial terms weren't available. After the deal, Swiss Life would hold 15.9% of MLP and plans to reduce that figure to below 10%. It said it's in discussions with potential buyers and MLP to do so. The group's 2008 profit dropped 75% to 345 million francs, as it stated in late February, with the company pinning the blame on the "extremely negative trend on the financial markets since the end of September," with adjusted premiums down 4%.
Monday, March 23
Teradyne revises guidance, announces cost reductions(8:23 pm ET)
SAN FRANCISCO (MarketWatch) -- Teradyne Inc. said late Monday it's revising guidance for the quarter ending in April, and will take steps to cut roughly $50 million in annualized costs. The automated test equipment maker (TER: news, chart, profile) said it now expects sales for the quarter will be between $115 million and $120 million, and its net loss per share excluding special items will be between 40 and 42 cents, while its "sales in the second quarter of 2009 will be about flat with the first quarter." In a statement, the company cited global economic conditions and flagging consumer demand, which are "causing our customers to reduce their test needs to unprecedented levels." Shares of Teradyne were flat in after-hours trading at $4.48.
Phillips-Van Heusen swings to quarterly loss (5:22 pm ET)
SAN FRANCISCO (MarketWatch) - Phillips-Van Heusen Corp. (PVH: news, chart, profile) late Monday reported it swung to a net loss of $37.9 million, or 74 cents a share, from a net income of $30.3 million, or 55 cents a share, a year earlier. Excluding restructuring items, the company would have earned 30 cents a share. Revenue decreased to $577.8 million from $584.5 million in the year-ago period, the clothing manufacturer said. Analysts polled by FactSet Research had forecast earnings of 28 cents a share on revenue of $581.7 million. Phillips-Van Heusen expects first-quarter earnings of 33 cents to 43 cents a share on revenue of $530 million to $540 million. Wall Street is projecting the company to post earnings of 59 cents a share and revenue of $567 million in the first quarter. For 2009, the company sees earnings of $1.88 to $2.18 a share while revenue is expected to fall 7% to 8% from 2008.
Sonic second-quarter net income slides fractionally(4:11 pm ET)
SAN FRANCISCO (MarketWatch) -- Drive-in restaurant chain Sonic Corp. (SONC: news, chart, profile) late Monday reported its second-quarter net income fell to $8.7 million, or 14 cents a share, from $9.3 million, or 15 cents, a year ago. The quarterly result from this year included an after tax 6-cent-a-share gain from early repayment of debt. Revenue decreased to $169 million from $174.6 million a year earlier. Analysts surveyed by FactSet Research had forecast earnings of 9 cents a share on revenue of $171.9 million.
China Overseas Land & Investment 2008 net income up 21%(5:00 am ET)
HONG KONG (MarketWatch) -- China Overseas Land & Investment (HK:688: news, chart, profile) said Monday net income for 2008 totaled HK$5.1 billion ($658.02 million), an increase of 21% from HK$4.18 billion in the prior year. The company said about HK$1.07 billion of the net income figure was related to the revaluation of investment properties. Sales of properties in China totaled HK$25.90 billion, up 19% from a year earlier, while sales by area totaled 2.7 million square meters, up 25% on year. The company proposed a final dividend of 7 Hong Kong cents per share, bringing totaled dividends for the year to 13 Hong Kong cents per share.
Daily Mail advertising revenue down, more job cuts planned(3:37 am ET)
LONDON (MarketWatch) -- U.K. newspaper publisher Daily Mail & General Trust (UK:DMGT: news, chart, profile) said Monday that its U.K. and European consumer media divisions are having a difficult quarter as advertising revenue falls, while performance at its business to business arms has remained broadly steady. The group said it still expects results for the fiscal year to be in line with the market consensus, but that there is little visibility on the advertising revenue from Associated Newspapers and the first-half results will be substantially lower. The group said quarterly advertising revenue from its Associated Newspaper unit is expected to be down around 24% on an underlying basis and at Northcliffe Media the fall is around 37%. The group said further cost cutting is planned, including around 1,000 job cuts at Northcliffe -- double the level previously expected. The group also said it will exceed its previously announced cost-savings target of 100 million pounds ($145 million).
Friday, March 20
Citigroup's Pandit criticizes bonus tax legislation(4:34 pm ET)
SAN FRANCISCO (MarketWatch) -- Citigroup Inc. (C: news, chart, profile) Chief Executive Vikram Pandit on Friday criticized legislation that would tax bonuses at many financial companies heavily. "The work we have all done to try to stabilize the financial system and to get this economy moving again would be significantly set back if we lose our talented people because Congress imposes a special tax on financial services employees," Pandit wrote in a memo to employees on Friday. "It would affect countless number of people who will find it difficult, if not impossible, to pay back the bonuses that they earned." The House of Representatives passed legislation Thursday that would impose a 90% tax on bonuses given to employees who earn more than $250,000 a year at companies that have received at least $5 billion from the government's Trouble Asset Relief Program.
Energy stocks mixed in early action(9:40 am ET)
NEW YORK (MarketWatch) -- Energy stocks traded mixed in early action. The Amex Oil Index (XOI: news, chart, profile) fell fractionally at 886. The Amex Natural Gas Index (XNG: news, chart, profile) rose 0.6% to 369.
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