Replies to post #456 on Earning Plays

[3xBuBu]

Monday, May 12
Dish Network first-quarter net income rises (6:54 pm ET)
SAN FRANCISCO (MarketWatch) -- Dish Network Corp. (DISH: news, chart, profile) late Monday reported its first-quarter earnings rose to $258.6 million, or 57 cents a share, from $157.1 million, or 35 cents a share, a year earlier. Revenue rose to $2.81 billion from $2.55 billion a year ago, said the Englewood, Colo.-based provider of satellite-TV services. Analysts surveyed by FactSet Research had forecast the company to earn, on average, 52 cents a share on revenue of $2.85 billion. Dish had a total of 13.8 million subscribers on March 31, up from 13.4 million on March 31, 2007.
Fluor earnings jump 63%; company lifts outlook (6:15 pm ET)
SAN FRANCISCO (MarketWatch) -- Engineering and construction giant Fluor Corp. (FLR: news, chart, profile) reported late Monday first-quarter net income rose to $138 million, or $1.50 a share, from $84.6 million, or 94 cents, a year ago. Revenue for the three months ended March 31 rose 32% to $4.81 billion. Analysts surveyed by FactSet had predicted Fluor would report earnings of $1.26 a share on $4.67 billion in revenue. Reflecting its strong order backlog, the company raised its full-year 2008 earnings outlook to a range of $6.25 to $6.55 a share, up from its previous guidance of $5.10 to $5.50 a share. Shares of the Irving, Texas-based company rose 1.5% ahead of the report to close at $166.36. Shares are up 59% over the past 12 months. (Inserts dropped word.)
Winn-Dixie profit dips partly due to higher tax rate(4:50 pm ET)
SAN FRANCISCO (MarketWatch) -- Grocery chain operator Winn-Dixie Stores Inc. (WINN: news, chart, profile) on Monday reported a third-quarter profit of $15.02 million, or 28 cents a share, down from $17.83 million, or 33 cents a share, a year ago. The company blamed a higher reported income tax expense and lower interest income. Sales came in at $1.7 billion, up 2.3% from a year earlier. Analysts polled by FactSet Research were looking for a profit, on average, of 26 cents a share, with sales of $1.71 billion.
McDermott Intl. profit falls 22% (4:43 pm ET)
SAN FRANCISCO (MarketWatch) -- Energy industry engineering and construction company McDermott International, Inc. (MDR: news, chart, profile) reported Monday first-quarter net income fell to $123.2 million, or 54 cents a share, from $158.1 million, or 69 cents, a year ago. Revenue for the three months ended March 31 rose 6.4% to $1.45 billion from $1.36 billion. Analysts surveyed by FactSet had predicted McDermott would post earnings of 56 cents a share on $1.48 billion in revenue. Shares of the Houston-based company rose 5 cents ahead of the report to close at $53.95. Shares are up 53% over the past 12 months.
Radian net improves, but market woes hit operating results(8:37 am ET)
NEW YORK (MarketWatch) -- Mortgage insurer Radian Group Inc (RDN: news, chart, profile) said Monday its first quarter net income rose, based on unrealized investment and accounting gains, to $195.6 million, or $2.44 a share, compared to $113.5 million, or $1.42 a share a year ago. On an operating basis, the company lost $215.2 million, or $2.69 a share as for the quarter. "The continuation of weak housing and credit markets and these conditions have impacted results in our mortgage insurance and financial guaranty businesses," Chief Executive Officer S.A. Ibrahim said in a press release.
Standard Pacific's quarterly loss widens(8:28 am ET)
BOSTON (MarketWatch) -- Standard Pacific Corp. (SPF: news, chart, profile) on Monday reported a quarterly loss of $216.4 million, or $3.34 a share, compared with a loss of $40.8 million, or 63 cents a share, in the year-ago period. For the quarter ended March 31, the troubled home builder said it recorded after-tax impairment charges of $117.9 million, or $1.82 a share, as a result of challenging market conditions, including more sales incentives and further price declines. Total home-building revenue slipped 47% to $348.2 million, Standard Pacific said.
IndyMac posts loss, doesn't expect see profit this year(7:16 am ET)
LONDON (MarketWatch) -- IndyMac Bancorp (IMB: news, chart, profile) said it swung to a first-quarter loss of $184.2 million, or $2.27 a share, after a year-earlier profit of $52.4 million. But the mortgage finance firm said it was able to trim its loss from the fourth quarter by 64%. It recorded credit provisions of $249 million during the quarter. It doesn't expect to earn a profit until the current decline in home prices decelerates, which it doesn't forecast this year. It's going to defer the interest on our trust preferred securities at the holding company and suspend the dividends on its non-cumulative, perpetual preferred stock at Indymac Bank. Analysts polled by FactSet expected a loss of $1.84 a share for the quarter and a $2.75 per share loss for the year.
MBIA swings to loss of $2.4 billion on derivatives hit(7:06 am ET)
LONDON (MarketWatch) -- Bond insurer MBIA (MBI: news, chart, profile) swung to a first-quarter loss of $2.41 billion, or $13.03 a share. It earned $198.6 million, or $1.46 a share, in the year-earlier period. During the first quarter, it recorded a $3.6 billion unrealized loss on insured derivatives. Analysts polled by FactSet, who exclude gains and charges from their estimates, expected a loss of $1.45 a share.
PMI Group records loss on increased claims, write-off(6:54 am ET)
PMI Group Inc. (PMI: news, chart, profile) swung to a first-quarter loss on increased claims and reserves at its U.S. operations as the company wrote off the remaining value of its stake in Financial Guaranty Insurance Co., calling into question the ailing bond insurer's future. PMI, a mortgage insurer, reported a net loss of $274 million, or $3.37 a share, compared with prior-year net income of $102 million, or $1.16 a share. Revenue rose 7.3% to $315.9 million. The mean estimates of analysts polled by Thomson Reuters were for a loss of $1.96 a share on $289 million in revenue. PMI wrote off the remaining value of its 42% stake in FGIC - $103.6 million as of Dec. 31. FGIC contributed $124.2 million in first-quarter losses to PMI, reserving a year-earlier profit. As a result of the write-off, PMI no longer will have to record FGIC losses against its bottom line, nor is it under any "obligation to provide additional capital to FGIC."
Willis Lease Finance's first-quarter net profit up 19%(6:44 am ET)
LONDON (MarketWatch) -- Willis Lease Finance (WLFC: news, chart, profile) , a lessor of commercial jet engines, said first-quarter net income rose 19% to $4.3 million, or 49 cents a share, from $3.6 million, or 42 cents a share, earned in the year-earlier quarter. Revenue also climbed 19% to $32.2 million.
CORRECT: Emmis posts wider quarterly loss, 9% higher revenue(6:37 am ET)
WASHINGTON (MarketWatch) -- Emmis Communications Corp. (EMMS: news, chart, profile) reported a net loss of $15.8 million, or 51 cents a share, in the fourth quarter ended Feb. 29, wider than the loss of $10.7 million, or 35 cents a share, recorded in the final three months of the radio and publishing company's fiscal 2007. Quarterly revenue increased to $85.8 million from the prior year's $78.6 million. The consensus of eight analysts surveyed by FactSet Research had been for Indianapolis-based Emmis to post a fourth-quarter loss of 16 cents a share. Chairman and CEO Jeff Smulyan noted pro-forma growth revenue rates of 3% in the company's domestic radio business as well as 4% in publishing in the latest quarter, at a time of "very difficult operating conditions." (Updating to include formal corporate name.)
JA Solar profit jumps, reiterates targets for 2008(6:24 am ET)
LONDON (MarketWatch) -- Chinese solar cell manufacturer JA Solar Holdings (JASO: news, chart, profile) said Monday that its first-quarter net profit jumped to $22 million, or 14 cents a share, from $8.3 million, or 7 cents a share, a year earlier. Revenue for the period jumped to $160 million from $47.8 million. Analysts had been expecting earnings of 11 cents a share. The company also reiterated its forecast for 2008 revenue in the range of $1.03 billion to $1.14 billion and for gross margin to remain above 20%.
Evercore Partners' first-quarter earnings drop(6:18 am ET)
LONDON (MarketWatch) -- Advisory firm Evercore Partners, Inc. (EVR: news, chart, profile) said it swung to a first-quarter loss of $1 million, or 8 cents a share, compared with a net profit of $4.2 million, of 64 cents a share, in the year-earlier quarter. Adjusted earnings came in at 13 cents a share compared with 50 cents a share in the year-ago period. The company said its advisory revenue fell 51.5% to $41 million in the quarter. It announced a $25 million share repurchase program.
H&R Block tax-season fees strongest since 1999, up 8.9%(6:09 am ET)
TEL AVIV (MarketWatch) -- H&R Block Inc., (HRB: news, chart, profile) the Kansas City, Mo., provider of tax-preparation services, reported its strongest tax season in nine years. For the period Nov. 1, 2007, through April 17, 2008, tax-preparation fees rose 8.9% from the year-earlier period, to $2.8 billion. The increase reflected fee rises of 9.8% at company-owned offices and 7% via franchisees. Average retail fees grew 4.7% as the number of retail clients served rose 2.2%.
Orbotech 1st-quarter net off 34%, hurt by dollar's weakness(5:52 am ET)
TEL AVIV (MarketWatch) -- Orbotech Ltd., (ORBK: news, chart, profile) the Yavneh, Israel, producer of optical-inspection equipment for printed circuit boards and flat-panel displays, reported first-quarter net income fell 34% on 17% higher revenue. Earnings fell to $3.7 million, or 11 cents a share, from $5.6 million, or 17 cents, in the year-earlier period. Revenue reached $100.5 million from $86.1 million. The U.S. dollar's weakness against the shekel knocked 4 cents a share off the latest earnings, and if the exchange rate stays at current levels in the second quarter, those results will reflect a similar reduction, Orbotech said. Sales of equipment to the PCB industry were $36.5 million, up 2.8% from the year-earlier period but off 27% from the fourth quarter, ORBK said. The decline reflects the "prevailing global economic uncertainty, particularly in North America, and this may continue" to hurt PCB revenue in the near term, Orbotech said.
HSBC profit rises as Asia growth offsets write-downs(4:33 am ET)
LONDON (MarketWatch) -- HSBC Holdings (UK:HSBA: news, chart, profile) (HBC: news, chart, profile) said Monday that its first-quarter profit was ahead of the equivalent period a year ago as higher profits in Asia, the Middle East and Latin America helped offset rising loan impairments in the U.S. and a write-down at its investment banking arm. HBSC said loan impairment charges in its U.S. consumer finance business were $3.2 billion, compared with $1.6 billion a year earlier. The global banking and markets arm took a write-down of $2.6 billion. The group also said that significant widening in credit spreads during the first quarter, particularly at the end of March, led to fair value gains of US$2.7 billion on HSBC's own debt, but most of this reversed in April.
Colliers Cre down 18% on warning over real estate activity(3:20 am ET)
LONDON (MarketWatch) -- Shares of Colliers Cre (UK:CRE: news, chart, profile) dropped 18% as the U.K. property consulting firm warned over real estate activity. "The continuing reluctance of banks to lend, together with a deteriorating economic environment, has led us to revise our original expectation of an upturn in activity towards the end of the year. We now expect investment activity in the U.K. to remain at its current depressed level for at least the remainder of 2008," the firm said.
Southern Cross Healthcare loss widens, revenue rises(2:51 am ET)
LONDON (MarketWatch) -- Southern Cross Healthcare (UK:SCHE: news, chart, profile) said its first-half net loss widened to 8.6 million pounds ($16.8 million) from 600,000 pounds, while revenue rose 28% to 431 million pounds. The U.K.'s largest care home provider said the number of beds increased by 14% and underlying average weekly fees rose 6%, while occupancy slipped to 90.4% from 91.1%. Earnings before interest, tax, depreciation, amortization, profit on disposal of property, plant and equipment and subsidiary undertakings and rental charges on operating leases rose 26% to 123.5 million pounds.
Centrica sees 1st-half operating net off; BG margins tight(2:45 am ET)
TEL AVIV (MarketWatch) -- Centrica, (CPYYY: news, chart, profile) (UK:CNA: news, chart, profile) the parent of British Gas, said first-half group operating profit will fall "materially" from a year earlier, in part because of higher wholesale prices for gas. Profit margins at British Gas have been "squeezed to levels below our long-run expectations," Centrica said. That's because even after Centrica raised retail prices in January, wholesale-gas costs continued to rise. And while Centrica Energy's gas production and selling prices have been strong, the high wholesale-gas costs have hurt Centrica's legacy industrial and commercial gas-sale contracts. "Losses here are currently expected to be materially higher" than it previously estimated, Centrica said in a statement on Monday. "Performance across the remainder of the group has been good," it said. For the year, operating profit in upstream gas production will be "very strong," partly offset by the losses from the legacy gas-sales contracts, Centrica said. The shift in product mix also will cause a higher tax rate, now seen about 55%, it said.
CryptoLogic 1st-quarter net off 59%, revenue down 1.3%(2:21 am ET)
TEL AVIV (MarketWatch) -- CryptoLogic Ltd., (CRYP: news, chart, profile) (UK:CRP: news, chart, profile) the Dublin producer of Internet-gambling software, reported first-quarter net income fell 59% on 1.3% lower revenue. Earnings were $609,000, or 6 cents a share, compared with $1.5 million, or 10 cents, in the year-earlier period. Revenue fell to $19.3 million from $19.6 million. Excluding special items, revenue rose 21% from a year earlier, CRYP said. The lower earnings reflected investments in new games, management and partnerships, CryptoLogic said. The year-earlier period also included a $4.5 million one-time benefit. The company restructured in 2007 after the U.S. outlawed most forms of Internet gambling. By the end of 2009, CryptoLogic said, it expects to return to the earnings and revenue levels it reported for 2006.

[3xBuBu]

Tuesday, May 13

Shares of microchip equipment maker Applied Materials Inc (AMAT.O: Quote, Profile, Research) gained 2.2 percent to $20.29 after the bell on Tuesday. Excluding acquisition charges, restructuring and asset impairments, it earned 24 cents per share, beating the average analyst forecast of 22 cents.


TJX Falls on Disappointing Revenue
Posted on Tuesday, May 13, 2008 10:17 AM
TJX Companies Inc (TJX) opened at $32.31. So far today the stock has hit a low of $30.32 and a high of $32.31. TJX is now trading at $30.59, down 1.55 (-4.82%). After hitting a one-year low of $25.49 in January, the stock hit a one-year high of $34.93 in March. Shares of TJX are declining this morning after the company declared a first-quarter profit of $193.8 million, or 43 cents per share. While TJX's adjusted profit matched analysts' estimates of 41 cents per share, the company posted revenue of $4.36 billion, just below analysts' forecast of $4.39 billion. Technical indicators for TJX are bearish and steady, while S&P gives the stock a bullish 4 Stars (out of 5) Buy rating. If you’re looking for a hedged play on this stock, consider a July bear-call credit spread above the $35 range. TJX hasn't been above 35 at all in the past year, and could gain up to 14.4% before this trade loses money.

Retailers traded mixed Tuesday after Wal-Mart Stores Inc. issued a conservative profit forecast and Liz Claiborne cut its full-year outlook.
Wal-Mart shares fell 2.4%. The world's largest retailer reported its first-quarter profit rose 6.9% from a year ago, topping Wall Street's per-share earnings target by a penny.
But Wal-Mart added that the sluggish U.S. economy may slow its growth for the rest of the year.
"There are still uncertainties about the rest of the year," Wal-Mart Chief Executive Lee Scott said in a pre-recorded call. "The economy is playing a critical factor in 2008."


Whole Foods net income falls 13%; shares drop(4:24 pm ET)
SAN FRANCISCO (MarketWatch) -- Whole Foods Market Inc. (WFMI: news, chart, profile) late Tuesday reported its fiscal second-quarter net income fell 13% from a year ago to $40 million, or 29 cents a share. A year-earlier, the nation's largest organic grocery-chain earned $46 million, or 32 cents a share. Sales rose to $1.9 billion from $1.5 billion. Whole Foods shares fell 7% on the report as the earnings missed Wall Street's target of 31 cents a share, according to analysts surveyed by FactSet Research. Looking ahead, Austin, Tex.-based Whole Foods backed its fiscal 2008 forecast for comparable store sales growth of 7.5% to 9.5%.
EA posts net loss on charges while revenue surges(4:11 pm ET)
SAN FRANCISCO (MarketWatch) -- Electronic Arts Inc. (ERTS: news, chart, profile) reported a net loss for its fourth fiscal quarter on acquisition charges while revenue surged past Wall Street's estimates on strong video game sales. The game publisher reported a net loss of $94 million, or 30 cents a share, for the March quarter compared to a loss of $25 million, or 8 cents a share, for the same period last year. Excluding acquisition charges and other items, EA said it would have earned $30 million, or 9 cents a share, for the recent quarter. Revenue surged 84% to $1.13 billion. On a non-GAAP basis, the company said revenue would have been $919 million. Analysts were expecting revenue of $834.8 million with earnings at a break-even level on a per-share basis.
TJX's first-quarter profit rises 20%(9:49 am ET)
NEW YORK (MarketWatch) -- TJX Cos. (TJX: news, chart, profile) said Tuesday that its fiscal first-quarter net income increased 20% amid a one-time tax benefit and stronger sales as shoppers flock to the company's lower-priced wares. The operator of TJ Maxx, Marshalls and other retail chains posted net income for the quarter ended April 26 of $193.8 million, or 43 cents a share, up from $162.1 million, or 34 cents a share, a year earlier. The latest quarter included a 2-cent tax gain, while the prior year had 3 cents in charges from the theft of credit-card data. TJX last week raised its earnings forecast to 40 cents to 41 cents a share. Revenue rose 6.2% to $4.36 billion. The latest mean estimates of analysts polled by Thomson Reuters were for per-share earnings of 41 cents on revenue of $4.39 billion.
EchoStar swings to first-quarter profit(9:46 am ET)
NEW YORK (MarketWatch) -- EchoStar Corp. (SATS: news, chart, profile) said Tuesday that it swung to a first-quarter profit of $5.7 million, or 6 cents a share, from a year-earlier loss of $18.5 million, or 21 cents a share. For the three months ended March 31, the Englewood, Colo.-based maker of digital set-top boxes posted revenue of $555 million, up about 24% from the year-ago $448 million.
Energy stocks dip in early trades(9:35 am ET)
NEW YORK (MarketWatch) -- Energy stocks edged down in early action on Tuesday, as traders weighed higher crude prices against lower world oil consumption estimates from the International Energy Agency. The Amex Oil Index (XOI: news, chart, profile) fell 0.2% to 1,530. The Amex Natural Gas Index (XNG: news, chart, profile) dipped fractionally to 703.5. Light, sweet crude for June delivery traded 3 cents higher at $124.26 a barrel on the New York Mercantile Exchange.
Canadian Solar gains in pre-market after Q1 profit(8:26 am ET)
NEW YORK (MarketWatch) -- Canadian Solar Inc. (CSIQ: news, chart, profile) shares are up 17% to $40.01 in pre-market trades on Tuesday after the company said it swung to a first-quarter profit of $19 million, or 61 cents a share from a loss of $3.9 million, or 14 cents a share in the year-ago period. The Jiangsu, China-based solar panel manufacturer said revenue for the three months ended March 31 rose to $171 million from $17.5 million in the year-ago period. Analysts surveyed by FactSet forecast earnings of 32 cents a share and revenue of $151.2 million, on average. In the fourth quarter, Canadian Solar reported net income of $5.9 million on revenue of $127.5 million.
Weekly chain store sales rise slightly from year-ago: survey(7:51 am ET)
NEW YORK (MarketWatch) -- Chain-store sales for the week ended May 10 rose 0.5% from the year-ago period, according to a survey released Tuesday by the International Council of Shopping Centers. On a week-over-week basis, sales slipped 1%. "Despite all the current gloom and doom, the consumer tide may be changing a bit in the near term with nearly $30 billion of tax rebate money already in the hands of consumers," said Michael Niemira, ICSC chief economist. "Although we do not expect the lion's share to be spent, a significant share of it will be in the coming weeks. We also expect that this should modestly lift May store sales, and, most likely, lift the pace of sales even more so in the coming months," Niemira added. ICSC Research is forecasting May same-store sales will rise by about 2%.
SGX Pharmaceuticals posts profit on 55% revenue growth(6:31 am ET)
WASHINGTON (MarketWatch) -- SGX Pharmaceuticals Inc. (SGXP: news, chart, profile) reported a first-quarter net profit of $3.7 million, or 18 cents a share, a reversal from the loss of $1.1 million, or 7 cents, generated in the same period during 2007. Two analysts surveyed by FactSet Research had forecast a quarterly loss of 25 cents a share, on average. The San Diego-based company posted revenue of nearly $17 million, up from the prior year's $11 million. The latest quarter's revenue included $10.8 million attributable to the one-time recognition of the remaining portion of an upfront payment, which had not yet been recognized, related to SGX's collaboration with Novartis (NVS: news, chart, profile) . SGX's spending on research and development totaled $11.3 million for the latest quarter, up from $10 million a year earlier. The company also said it expects to incur a net loss in the remaining quarters of 2008 and for the full year.
Nissan net jumps, but forecasts 30% drop in profit this year(3:45 am ET)
HONG KONG (MarketWatch) -- Japan's Nissan Motor Co. (NSANY: news, chart, profile) (JP:7201: news, chart, profile) Tuesday said its net income for the January-March quarter jumped 68% to 137.6 billion yen ($1.32 billion), or 33.7 yen a share, from the year-ago period on improved performance in Europe. Quarterly sales dropped 17% to 2.99 trillion yen. Net income for the year ended March 31 rose 5% to 482.26 billion yen. The auto major forecast a 30% drop in net income for the year ending March 31, 2009 to 340 billion yen, lower than the 368 billion yen expected in a poll of analysts by FactSet, citing high commodity and energy prices as the principal external risks. Vehicle sales are forecast at 3.9 million. Nissan shares ended 3.2% higher in Tokyo, before the results were announced.
U.K. builder Redrow slips after warning on completions(3:43 am ET)
LONDON (MarketWatch) -- Shares of U.K. builder Redrow (UK:RDW: news, chart, profile) slipped 2% as the firm said the trading environment has deteriorated to an even greater extent than it had anticipated on Feb. 28, when it last provided an update on performance. As at the end of April, its order book in the homes operations was 26.5% down on last year. In the second half of its financial year, net reservations to date have been running at just under 50% below the levels secured in the same period last year, though that's parlty on its cautious use of incentives. Legal completions in the financial year in the homes operations are currently expected to be approximately 10% below its previously expressed view.
Credit Agricole plans $9.2 billion capital raising(3:27 am ET)
LONDON (MarketWatch) -- French bank Credit Agricole (FR:004507: news, chart, profile) said Tuesday that it intends to raise around 5.9 billion euros ($9.2 billion) by selling new stock to shareholders after taking another 1.21 billion euros of write-downs in the first quarter. The bank said the latest write-downs will results in a net profit of around 892 million euros in the quarter and added it intends to reduce the risk profile of its corporate and investment banking arm. The group will cut the proportion of capital allocated to investment banking and "significantly reduce" its fixed cost base.
Enterprise Inns profit slides 31%(2:42 am ET)
LONDON (MarketWatch) -- U.K. pub operator Enterprise Inns (UK:ETI: news, chart, profile) said Tuesday that its net profit for the six months ended March 31 fell 31% to 102 million pounds as revenue for the period slipped 3.3% to 438 million pounds. Excluding gains in the year-ago period, adjusted pretax profit was down 11% at 132 million pounds. The group said the trading environment is tough and consumer leisure spending is likely to remain under pressure for some time.
G4S trading slightly ahead of expectations, plans share sale(2:34 am ET)
LONDON (MarketWatch) U.K. security company G4S (UK:GFS: news, chart, profile) said Tuesday that underlying performance is running slightly ahead of management expectations as it also revealed plans to sell up to 127 million new shares, representing 9.9% of its existing share capital. The group said underlying performance has been steady since its last update in March, but it has benefited from recent strength in the euro. The share sale will be used to pay down debt following its recent acquisitions and will increase its capacity to make further acquisitions.
StatoilHydro profit climbs 61% on oil, gas prices(2:32 am ET)
LONDON (MarketWatch) -- StatoilHydro Asa (STO: news, chart, profile) , the Norway oil group mostly held by the country's government, said first-quarter net income rose 61% to 16 billion Norwegian kroner ($3.19 billion), up from 9.9 billion in the year ago quarter. Analysts polled by FactSet expected a profit of $3.14 billion. Oil prices in local terms rose 42%, and higher natural gas prices, lower write-downs of inventories, gains from sales of assets and currency moves all helped the bottom line and offset increased exploration expenses. Production rose to 2.05 million barrels of oil equivalent a day, up from 1.89 million, and the company sees 2008 production of 1.9 million barrels.
Alliance & Leicester takes further charges(2:29 am ET)
LONDON (MarketWatch) -- U.K. bank Alliance & Leicester (UK:AL: news, chart, profile) said Tuesday that in the first four months of 2008 it has taken an impairment loss of 139 million pounds ($272 million) on treasury assets including structured investment vehicles and collateralized debt obligations. The bank also booked a 53 million pounds reduction in the fair value of certain investments that will affect the income statement and a 199 million pound charge that will be recognized in its reserves. Alliance & Leicester said overall there has been no deterioration in the asset quality of its customer loans and advances and added core operating profit excluding treasury assets in the first four months of the year was similar to the same period in 2007. The bank also said it's continued to raise and renew short and medium-term funding successfully.
Fortis 1st-qtr net off 31%; credit-market hit 380 mln euros(2:10 am ET)
TEL AVIV (MarketWatch) -- Fortis, (FORSY: news, chart, profile) (NL:30086: news, chart, profile) the Brussels financial-services group, reported first-quarter net income fell 31%, reflecting 380 million euros after-tax "impact of the credit-market turmoil." Earnings fell to 808 million euros, or 0.37 euro a share, from 1.17 billion euros, or 0.76, in the year-earlier period. Shares outstanding rose 42% to 2.19 billion. In banking, the latest profit was 721 million euros, down 20%, including 231 million euros of impairments on its structured-credit portfolio. Fortis's insurance lines earned 219 million euros, down 38%, after 149 million euros of costs attributed to the credit-market turmoil. Under the category of General in profit and loss, Fortis's loss widened to 132 million euros from 88 million. The company said it kept a tight rein on costs in the quarter. In banking the credit-loss ratio was 0.12%, excluding structured-credit-portfolio impairments, "reflecting continued strong credit quality."

[3xBuBu]

Wednesday, May 14
U.S. gasoline prices topping $4 a gallon in some markets(10:53 am ET)
NEW YORK (MarketWatch) -- Average U.S. retail gasoline prices rose 3 cents to just under $3.76 a gallon in the last day, according to the Daily Fuel Gauge Report from AAA. A month ago, gasoline averaged $3.37 a gallon nationally and a year ago, the price stood at $3.09 a gallon. In Wailuku, Hawaii, regular unleaded gasoline now sells for $4.20 a gallon, up two cents from yesterday. In San Francisco, gasoline sells for $4.04 a gallon, up about a penny in the last day.
Energy shares rise ahead of inventory data(9:40 am ET)
NEW YORK (MarketWatch) -- Energy stocks rose ahead of weekly petroleum inventory data on Wednesday. The Amex Oil Index (XOI: news, chart, profile) rose 0.2% to 1,544. The Amex Natural Gas Index (XNG: news, chart, profile) rose 0.5% to 717. Sector leader Exxon Mobil (XOM: news, chart, profile) rose 50 cents to $90.18. Crude futures fell 57 cents to $125.23.
Global Water Resources files $50 mln IPO(8:08 am ET)
NEW YORK (MarketWatch) -- Global Water Resources Inc. late Tuesday filed to raise up to $50 million in an initial public offering with underwriter Janney Montgomery Scott. The Phoenix, Ariz. water resource management company plans to trade under the symbol GWRI on the Nasdaq.
Freddie Mac loses 66 cents a share in first quarter(7:40 am ET)
WASHINGTON (MarketWatch) -- Mortgage-finance giant Freddie Mac (FRE: news, chart, profile) said on Wednesday it lost 66 cents a share, or $151 million, in the first quarter, compared to a loss of 46 cents a share, or $133 million, a year ago. The company said challenging housing and credit-market conditions were behind a $1.2 billion provision for credit losses in the quarter. However, the company did better than analysts' expectations: Analysts surveyed by FactSet predicted that Freddie Mac would lose 91 cents a share in the first three months of 2008.
ReneSola net income triples, lifts revenue outlook(7:37 am ET)
NEW YORK (MarketWatch) -- ReneSola Ltd. (SOL: news, chart, profile) on Wednesday said first-quarter net income nearly tripled to $17.7 million, or 28 cents a share, from $6.8 million, or 14 cents a share in the year-ago period. Revenue rose to $123 million from $36 million. The China-based solar panel maker lifted its 2008 revenue outlook to $570 million to $590 million from its earlier view of $530 million to $550 million. ReneSola said the May 12 earthquake that struck China's Sichuan province did not damage its facilities and construction remains on schedule. "ReneSola does not expect the earthquake to have a material effect on its operations in Sichuan province," the company said.
Dana swings to a gain after emerging from bankruptcy(7:18 am ET)
NEW YORK (MarketWatch) -- Dana Holding Corp. (DAN: news, chart, profile) on Wednesday said it earned $685 million compared to a loss of $92 million for the three months ended March 31. The latest period included a gain of $754 million, reflecting the effects of its emergence from bankruptcy on Jan. 31 and the adoption of fresh start accounting. Revenue at the Toledo, Ohio-based maker of axles, driveshafts and thermal management products rose 8% to $2.3 billion. Earnings before interest, taxes, depreciation, amortization, and restructuring rose to $148 million from $90 million. "We are making progress in our turnaround effort despite a tough environment," said Executive Chairman John Devine. "As discussed earlier this year, we have much more to do and remain focused on our top priorities. With a new management team coming together, a strong balance sheet, and a clear sense of urgency, we are committed to repositioning Dana for a strong future."
Intertape Polymer 1st-period loss wider; adjusted net up(6:42 am ET)
TEL AVIV (MarketWatch) -- Intertape Polymer Group Inc., (ITP: news, chart, profile) (CA:ITP: news, chart, profile) the Montreal developer of plastic- and paper-based packaging products and systems, reported a wider first-quarter loss on 1.2% lower sales. The loss widened to US$1.9 million, or US$0.03 a share, from $570,000, or 1 cent, in the year-earlier period. Adjusted earnings were 3 cents a share against 2 cents. Shares outstanding rose 44% to 59 million. Sales slipped to $184.5 million from $186.8 million. Higher selling prices offset higher materials costs, particularly resin plastic-based raw material, Intertape said. Gross-profit margin widened to 15% from 14.7%.
American Water Works swings to loss; adjusted profit up(5:49 am ET)
TEL AVIV (MarketWatch) -- American Water Works Co., (AWK: news, chart, profile) the Voorhees, N.J., water and wastewater utility company, swung to a first-quarter loss from a year-earlier profit on 8.2% higher revenue. The loss was $732.5 million, or $4.58 a share, compared with profit of $2.7 million, or 2 cents, in the year-earlier period. The loss reflected a charge to goodwill stemming from the company's initial public offering in April and its subsequent stock price. Excluding the charge, adjusted earnings doubled to 4 cents a share. Revenue reached $506.8 million from $468.5 million, largely on the back of rate increases. AWK, a division of the German utility giant RWE, (RWEOY: news, chart, profile) (DE:703712: news, chart, profile) went public at $21.50 a share, below its estimated range of $24 to $26. The stock closed on Tuesday at $21.32.
Arkema climbs after 64% profit rise(3:41 am ET)
LONDON (MarketWatch) -- Arkema (FR:AKE: news, chart, profile) shares rose nearly 6% in Paris after reporting first-quarter profit rose a stronger-than-forecast 64% to 72 million euros ($111 million), while sales were up 0.3% to 1.49 billion euros. The profit rise at the maker of vinyl products and industrial chemicals was attributed to significant reductions in fixed costs and to expanding hydrogen peroxide production in Germany and buying Repsol's acrylic sheet making arm. It had a first-quarter operating margin of 10.7% and expects to achieve the 10% target it set out for the year.
Lanxess shares rise after 13% profit rise(3:27 am ET)
LONDON (MarketWatch) -- Shares of Lanxess (DE:547040: news, chart, profile) , the German chemicals firm, rose 4.9% after reporting a stronger-than-forecast 13% rise in first-quarter net income to 103 million euros ($159 million), with sales down 10% to 1.53 billion euros after disposals and currency hits. Selling price and volume increases more than offset adverse raw material price and currency developments, the firm said. For the year, it expects operational sales growth and EBITDA pre exceptionals over 700 million euros compared to 719 million euros in 2007.
PlayStation3, electronics power Sony's 2007 net profit(2:50 am ET)
HONG KONG (MarketWatch) -- Sony Corp. (SNE: news, chart, profile) (JP:6758: news, chart, profile) said Wednesday net income nearly tripled in the fiscal year ended March 31, as a strong performance in its electronics and game segments offset a weaker result in its film and financial services segments. The company said net income for the period totaled 369.4 billion yen ($3.5 billion), up from 126.3 billion yen a year earlier. The result was higher than consensus estimates for 334.5 billion yen. The electronics giant said sales grew 6.9% to 8.871 trillion yen. Revenue at its electronics unit climbed 8.9% helped by brisk sales of Bravia liquid-crystal display televisions, Vaio computers and digital cameras. The company's film division posted an 11.2% decrease owing to fewer releases and its financial services unit saw revenue fall 10.5% on investment losses and a fall in the valuations of convertible bonds. The company said its game division posted a 26.3% rise in revenue on a sharp rise in PlayStation3 sales. For the financial year ending March 31 2009, Sony forecasts net income will fall 22% to 290 billion yen. The company assumed an average exchange rate of 100 yen to the U.S. dollar and 158 yen to the euro throughout fiscal 2008.
Barratt sees sharp decline in housing market conditions(2:48 am ET)
LONDON (MarketWatch) -- U.K. home builder Barratt Developments (UK:BDEV: news, chart, profile) said Wednesday that market conditions have deteriorated significantly since the end of March as an unprecedented reduction in mortgage availability combined with declining consumer confidence. Total housebuilding revenue for the 19 weeks to May 11 fell 7.6% to 893 million pounds and net private reservations per week were down 34% from a year ago at 276. Since the end of March reservations have averaged 206 a week, it added.
Land Securities NAV falls 10% in 'demanding' market(2:46 am ET)
LONDON (MarketWatch) -- Land Securities (UK:LAND: news, chart, profile) , a U.K. commercial property real estate investment trust, reported a 10% decline in adjusted net asset value, to 1,956 pence, slightly ahead of forecasts, as it swung to a loss of 888.8 million pounds. "The market is demanding but we have performed well in relative terms this year and our results show considerable success in terms of value preservation in the face of a sharply falling market," the company said. It said good progress has been made on plans for the demerger, with new chairmen selected for each business. Discussions with rating agencies indicate likely ratings of AA for separate London and Retail debt programs, in line with current group arrangements.
Tullow benefits from rising oil prices; production in line(2:37 am ET)
LONDON (MarketWatch) -- Tullow Oil (UK:TLW: news, chart, profile) said Wednesday that its business has performed strongly so far in 2008 thanks to increasing oil and gas prices. Overall production, meanwhile, has been in line with expectations. The group said its increased spending on exploration has yielded good results in Ghana and Uganda, and that the outlook for the rest of 2008 is "very positive."
Compass Group profit up 7.6%, raises payout(2:32 am ET)
LONDON (MarketWatch) -- U.K. catering company Compass Group (UK:CPG: news, chart, profile) said Wednesday that its fiscal first-half net profit rose 7.6% to 213 million pounds ($414 million) as revenue grew 7.9% to 5.59 billion pounds. The group said it was able to improve its margin by 0.6 percentage points to 5.7% eve in the face of rising food prices. It said inflation for its basked of goods is around 4% to 5%, with significantly higher increases for dairy, rice and pasta goods. The group said it will also increase its interim dividend by 11% to 4 pence a share and buy back a further 400 million pounds of shares over the next 18 months.
Mitsubishi UFJ may post subprime hit of $2.9 billion: report(2:14 am ET)
HONG KONG (MarketWatch) -- Shares of Mitsubishi UFJ (JP:8306: news, chart, profile) traded lower Wednesday following a Japanese media report the bank may report a valuation loss of up to 300 billion yen ($2.9 billion) on investments. Mitsubishi UFJ, Japan's largest publicly traded bank, racked up the losses on securitized products, the Mainichi daily reported Wednesday without saying where it got the information. In January the bank had forecast subprime-related losses of 95 billion yen for the financial year ending March 31. Shares of Mitsubishi were down 2% at midday in Tokyo.

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Macy's reports loss on weak sales, restructuring
Despite a $59 million loss and a slump in sales in the first quarter, Macy's Inc. on Wednesday posted results that beat Wall Street expectations because of what analysts said were tight controls on expenses and inventories.

The loss resulted from lower sales and the cost of consolidating business units, Macy's said.

Losses totaled 14 cents a share in the three months ended May 3, compared with a profit of $36 million, or 8 cents a share, in the same quarter a year ago, Macy's said. Revenue was $5.75 billion, down from $5.92 billion a year ago.

Macy's booked a $55 million after-tax charge, or 13 cents a share, for the restructuring that the retailer said should start saving money next year. Macy's also set aside $14 million after tax, or 3 cents per share, for a potential settlement of a wage and hour class-action lawsuit in California.

Stripping out unusual charges, earnings from continuing operations were 2 cents a share, Macy's said.

Analysts polled by Thomson Financial forecast a loss of 2 cents a share on revenue of $5.6 billion. Analyst forecasts typically exclude one-time charges and gains.

Macy's shares rose 87 cents, or 3.6 percent, to $24.93 Wednesday. Shares have traded between $20.94 and $45.50 over the past 52 weeks.

Goldman Sachs analyst Adrianne Shapira said Macy's delivered the better-than-expected results "primarily as a result of leaner inventory levels and tight expense control."
http://www.mercurynews.com/copyright/ci_9254922

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U.S. Stocks Advance on Consumer Price Report; Freddie Mac Gains

By Michael Patterson

May 14 (Bloomberg) -- U.S. stocks advanced for a third day after consumer prices climbed less than forecast and Freddie Mac's results bolstered speculation the worst credit-market losses are over.

Freddie Mac, the second-largest U.S. mortgage-finance company, rallied the most in six weeks after reporting a smaller loss than analysts estimated. Macy's Inc. spurred gains in retailers on sales that topped projections. Nine of ten industry groups in the Standard & Poor's 500 Index rose as the Labor Department's April inflation report gave the Federal Reserve more leeway to stimulate the economy.

The S&P 500 added 5.62, or 0.4 percent, to 1,408.66. The Dow Jones Industrial Average increased 66.2, or 0.5 percent, to 12,898.38. The Nasdaq Composite Index rose 1.58, or 0.1 percent, to 2,496.7. Seven stocks advanced for every five that fell on the New York Stock Exchange.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aZ.rA.2RaKYw&refer=home

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Thursday, May 15
Compuware reports $61.2 million profit(4:44 pm ET)
SAN FRANCISCO (MarketWatch) -- Compuware Corp. (CPWR: news, chart, profile) on Thursday reported a fourth-quarter profit of $61.2 million, or 23 cents a share, on revenue of $338.9 million. During the same period a year ago, the business software company earned $67.5 million, or 21 cents a share, on $313 million in sales. Analysts surveyed by Thomson Financial had forecast Compuware to earn 21 cents a share on $331.5 million in sales.
BMC earnings jump 55% in fourth fiscal quarter(4:20 pm ET)
SAN FRANCISCO (MarketWatch) -- BMC Software (BMC: news, chart, profile) said Thursday afternoon that earnings jumped nearly 55% for its fourth fiscal quarter. For the quarter ended March 31, the company said net income was $97 million, or 50 cents per share, compared to earnings of $62.8 million, or 30 cents a share, for the same period last year. Excluding certain charges, the company said it would have earned $123 million, or 63 cents a share, for the recent period. Revenue grew 11% to $466.9 million. Analysts were expecting earnings of 51 cents a share on revenue of $460.9 million, according to FactSet Research.
Design software maker Autodesk posts 18% sales gain(4:19 pm ET)
SAN FRANCISCO (MarketWatch) - Autodesk Inc. said Thursday its first-quarter profit rose compared to the same period a year earlier, as sales grew 18%. San Rafael, Calif.-based Autodesk (ADSK: news, chart, profile) said net income for the period ended in April rose to $94.6 million, or 41 cents a share, compared to $83.3 million, or 34 cents a share in the same period a year earlier. Meanwhile revenue rose to $598.8 million from $508.6 million. Excluding special items, the maker of design software said earnings for the period were 50 cents a share. Analysts on average estimated Autodesk would post earnings excluding special items of 48 cents a share, and $589.11 million in revenue, according to FactSet Research.
Nordstrom posts lower profit, warns for 2008(4:19 pm ET)
SAN FRANCISCO (MarketWatch) -- Nordstrom, Inc. (JWN: news, chart, profile) on Thursday reported a first-quarter profit of $119 million, or 54 cents a share, down from $157 million, or 60 cents a share, a year earlier. Analysts polled by FactSet Research were looking for a profit, on average, of 50 cents a share. Sales dipped 3.8% to $1.88 billion. The high-end retail chain also warned that it expects 2008 earnings of $2.65 to $2.80 a share, down from a prior targeted range of $2.75 to $2.90 a share, citing a difficult business climate. Wall Street previously forecast a full-year profit of $2.82 a share. Nordstrom also pegged second-quarter earnings at 65 cents to 70 cents a share. Analysts are looking for a profit of 69 cents a share.
Kohl's profit falls as same-store sales decline (4:20 pm ET)
SAN FRANCISCO (MarketWatch) -- Kohl's Corp. (KSS: news, chart, profile) reported late Thursday fiscal first-quarter net income of $153 million, or 49 cents a share, down from $209 million, or 64 cents a share, in the year-ago period. Overall revenue for the three months ended May 3 rose 1.5% to $3.6 billion from a year ago but comparable same-store sales fell 6.7%, the department store owner said. Analysts polled by FactSet had predicted the company would earn 45 cents a share on $3.62 billion in sales. The company said it expects to earn 70 cents to 74 cents a share in the second quarter and full-year earnings of $2.95 to $3.15 a share, below analysts' estimates of $3.20. Kohl's shares closed ahead of the report with a 1.8% gain at $50.49.
Blockbuster swings to first-quarter profit (8:21 am ET)
NEW YORK (MarketWatch) -- Blockbuster Inc. (BBI: news, chart, profile) said Thursday that it swung to a first-quarter profit of $45.4 million, or 20 cents a share, from a loss of $49 million, or 27 cents a share, a year ago. The Dallas video retail chain store said revenue declined 5.4% to $1.39 billion from $1.47 billion as a result of fewer company-operated stores. On average, analysts polled by Thomson Reuters expected per-share earnings of 15 cents on revenue of $1.44 billion. Domestic same-store revenue rose 2.9%, while worldwide same-store revenue grew 1.4%.
T. Boone Pickens spending $2 bln to start up Texas wind farm(8:12 am ET)
NEW YORK (MarketWatch) -- Billionaire T. Boone Pickens said Thursday he's placing an order to buy 667 wind turbines from General Electric (GE: news, chart, profile) as part of an estimated $2 billion in start-up costs for his four-phase Pampa Wind Project. Pickens' Mesa Power LLP will buy the GE turbines, which will be capable of generating 1,000 megawatts of electricity, enough for 300,000 average U.S. homes. When complete, the Pampa Wind Project will cover some 400,000 acres in the Texas Panhandle. "You find an oilfield, it peaks and starts declining, and you've got to find another one to replace it," said Pickens, who once operated one of the largest independent oil and gas production companies. "It can drive you crazy. With wind, there's no decline curve."
Yingli Green Energy profit surges, tops forecast(7:16 am ET)
LONDON (MarketWatch) -- Yingli Green Energy (YGE: news, chart, profile) said first-quarter net income rose to $31.9 million, or 25 cents a U.S.-listed share, from $1.2 million. Revenue rose 10% to $227.5 million. On an adjusted basis, it earned 27 cents per ADS during the quarter. Analysts polled by FactSet expected earnings of 18 cents a share. For the year, the Chinese PV cell maker expects revenue between $969 million and $1.02 billion. Analysts had forecast revenue of $204 million for the quarter and $990 million for the year.
Allied Irish Banks sees profit falling around 6%(6:39 am ET)
LONDON (marketWatch) -- Allied Irish Banks (AIB: news, chart, profile) (UK:ALBK: news, chart, profile) said Thursday that it expects first-half profit in 2008 to fall around 6% from a year earlier due to the weak global markets and the absence of the very high levels of bad-debt recovery it achieved a year earlier. The group said, however, that it's still targeting low-single-digit growth in earnings per share for the year. The group added its funding position remains strong and it continues to expect net interest margin to fall by around 0.1 percentage points in 2008.
Urban Outfitters profit gains 45%, margins improve(6:28 am ET)
LONDON (MarketWatch) -- Retailer Urban Outfitters Inc. (URBN: news, chart, profile) said Thursday that its first-quarter net profit rose 45% to $42.6 million, or 25 cents a share, from $29.4 million, or 17 cents a share, a year earlier. Net sales for the quarter rose 25% to $394.3 million. Same-store sales for the period rose 10%, with the biggest increase of 19% seen at its Free People business. The group said gross profit margins rose 4.44 percentage points due to fewer markdowns and improvements to initial merchandise costs. Analysts polled by FactSet had expected earnings of 23 cents a share.
Constar loss widens on weak convenience store demand(6:23 am ET)
LONDON (MarketWatch) -- Constar International (CNST: news, chart, profile) said its loss widened to $7.53 million, or 61 cents a share, from $6.11 million, or 50 cents a share, as sales edged up 0.3% to $213.4 million. The polyethylene terephthalate plastic container maker blamed weak demand in the convenience store and gas station distribution channels.
NEC fiscal 2007 net income more than doubles to $217 million(2:47 am ET)
HONG KONG (MarketWatch) -- NEC Corp. (JP:6701: news, chart, profile) (NIPNY: news, chart, profile) said Thursday net income for the fiscal year ended March 31 more than doubled, helped by costs cuts, outsourcing and improvements in its chip-making business. NEC, a maker of telecommunications network equipment and computers, said its net income totaled 22.7 billion yen ($217.03 million), up 149% from 9.1 billion yen a year earlier. Wire reports said analysts had expected net income of 18.3 billion yen. The company's group sales fell 0.8% to 4.62 trillion yen from 4.65 trillion yen. In the current fiscal year ending March 31 2009 the company forecast net income will rise 54% to 35 billion while sales would rise 4% to 4.80 trillion yen.
Barclays profit slips, takes net charge of 1 bln pounds(2:29 am ET)
LONDON (MarketWatch) -- U.K. bank Barclays (UK:BARC: news, chart, profile) (BCS: news, chart, profile) said Thursday that its first-quarter profit fell from a year earlier due to tough capital market conditions in March. The bank said solid profit growth in global retail and commercial banking was more than offset by declines at its Barclays Capital investment banking arm, though the division remained profitable. Barclays Capital results were impacted by net losses of 1 billion pounds ($1.94 billion) from the credit market turbulence, which included 700 million pounds of gains on the revaluation of its own debt. Barclays Capital was further hit in April as 500 million pounds of the first-quarter gains reversed. The bank made no mention of any need for more capital. It said it expects equity Tier 1 capital at June 30 to be slightly lower than the 5.1% at the end of December and stuck to its target level of 5.25%.
SABMiller tops forecasts with 15% rise in pretax profit(2:30 am ET)
LONDON (MarketWatch) -- SABMiller (UK:SAB: news, chart, profile) edged past analyst estimates with a 15% in annual adjusted pretax profit to $3.64 billion, on revenue growth of 15% to $21.41 billion. The brewer's lager volumes grew 11% during the year to 239 million hectoliters (50.5 billion pints), or up 7% on a comparable basis. Price increases, mix improvements and productivity gains offset the rise in input costs, in addition to favorable currency rates against the U.S. dollar. The brewer of Miller Lite and Peroni said volume growth in the first half will be affected by high comparison growth rates, and pressure on input costs will continue to increase although pricing and mix benefits are again expected to compensate for these cost increases. Because its footprint is geared toward developing markets, its economic outlook remains positive.
BT Group profit edges up, meets forecast(2:24 am ET)
LONDON (MarketWatch) -- U.K. telecoms firm BT Group (UK:BT.A: news, chart, profile) (BT: news, chart, profile) said fiscal fourth quarter to March 31 adjusted pretax profit rose 3% to 714 million pounds ($1.39 billion), with revenue up 2% to 5.42 billion pounds. Its adjusted EBITDA of 1.57 billion pounds was up 2% from last year and in line with a company-compiled analyst forecast. Its dividend of 15.8 pence a share is up 5% from last year. The company expects fiscal year revenue, EBITDA and earnings per share to grow as it continues the "transformation from a fixed-line business into a software-driven global communications services company."

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Friday, May 16
S&P 500 first-quarter earnings drop nearly 26%(10:35 am ET)
SAN FRANCISCO (MarketWatch) -- Standard & Poor's said Friday that early data shows first-quarter earnings for companies on the S&P 500 index fell 25.9% from a year ago. S&P said this marks the third consecutive quarter the index has reported declining earnings, an event not seen since the fourth quarter of 2001. "The shift in earnings continues, with Energy contributing 23.2% of S&P 500 operating earnings during the first quarter, up from 13.6% a year ago," said Howard Silverblatt, S&P's senior index analyst, in a statement. "Conversely, Financials have now become a negative contributor after accounting for 29.7% of operating earnings this time last year."
U.S. gasoline prices rise to new record of $3.79 a gallon(8:43 am ET)
NEW YORK (MarketWatch) -- U.S. gasoline prices edged up a penny in the last day to a new record average of $3.79 a gallon for unleaded, according to the Daily Fuel Gauge Report from AAA. A month ago, gas sold for $3.40 a gallon and a year ago it cost $3.11 a gallon.
Abercrombie & Fitch posts rise in first-quarter profit(7:14 am ET)
NEW YORK (MarketWatch) -- Abercrombie & Fitch Co. (ANF: news, chart, profile) said Friday that its fiscal first-quarter net income rose to $62.1 million, or 69 cents a share, from $60.1 million, or 65 cents a share, in the year-earlier quarter. The New Albany, Ohio, clothing retailer said net sales rose 8% to $800.2 million from $742.4 million, while comparable-store sales fell 3%. Analysts polled by FactSet Research expected, on average, earnings of 66 cents a share and revenue of $803.6 million. Abercrombie & Fitch maintained its first-half profit forecast of $1.61 to $1.65 a share, an increase of 5% to 8% from a year earlier. It also said it plans to grow gross square footage by about 10%, down from an earlier estimate of 11%.
FairPoint's lower quarterly results reflect impact of merger(6:50 am ET)
WASHINGTON (MarketWatch) -- FairPoint Communications Inc. (FRP: news, chart, profile) reported first-quarter net income of $9.5 million, or 18 cents a share, down from $14.4 million, or 27 cents, earned in the year-earlier period. Quarterly revenue for the Charlotte, N.C.-based telecom carrier also fell, slipping to $282.4 million from nearly $298 million in the prior year. The results reflect from an accounting standpoint only the former local-exchange operations of Verizon Communications (VZ: news, chart, profile) in Maine, New Hampshire and Vermont, FairPoint noted. The company completed its merger with Northern New England Spinco Inc., the entity formed to hold the Verizon businesses in the three states, as of March 31. It expanded FairPoint's service footprint to 18 states. Pro-forma operating results showed continued erosion in the number of access lines that FairPoint serves during the March quarter.
BA's quarterly pretax profit GBP95M, pays dividend(2:28 am ET)
LONDON (MarketWatch) -- British Airways Plc (UK:BAY: news, chart, profile) , Europe's third-largest flag carrier, on Friday reported fourth-quarter pretax profit of 95 million pounds and operating profit of 141 million pounds. Revenue rose 10.3% to 2.1 billion pounds. The carrier said it reached its operating margin goal of 10% for the full airline. Looking ahead, the airline said it expects revenue to increase 4% this financial year, at the lower end of guidance, and non-fuel costs are seen up 3% to 3.5%, or around 200 million pounds. Based on the current oil price of $120, British Airways' total fuel costs would rise by around 1 billion pounds this year. The airline warned that the first quarter would be particularly difficult in what promises to be a "challenging" year. British Airways also proposed a dividend of 5 pence a share for the year that just ended, its first dividend since 2001
Ladbrokes profit up 13%, sees no consumer slowdown(2:25 am ET)
LONDON (MarketWatch) -- U.K. bookmaker Ladbrokes (UK:LAD: news, chart, profile) said in a trading update Friday that profit from continuing operations in the four months to the end of April rose 13% excluding its high-roller customers and gross win rose by 16%. The company said growth was helped by strong betting on football and at its online sportsbook and casino. Ladbrokes added it has seen no evidence of a consumer downturn, but added it "remains mindful" of the general economic conditions and is targeting further growth in Italy and Spain.