Infineon Technologies AG said its 3Q net loss widened to 240 million euro ($292.2 million), or 32 Euro cents a share, versus a net loss of 56 million euro, or 8 Euro cents for the year-ago comparable quarter. Analysts had projected a loss of around 118 million euro.
Costs and impairment charges impacted earnings before interest and taxes, or EBIT, by 81 million euro in the three-month period. That resulted in an EBIT loss of 234 million euro versus a profit of 2 million euro a year earlier. Sales lost 16% to 1.61 billion euro versus 1.91 billion euro on pricing pressure in several areas.
The company plans to concentrate on improvements in production at its automotive, industrial and multimarket division, and cautioned that the Munich-Perlach phase-out and startup costs for the new production site in Kulim, Malaysia, will negatively hit EBIT through the end of 2006.
DuPont (
DD: chart), a chemicals company, posted 2Q earnings of $1.02 billion, or $1.01 a share, up versus $503 million, or 50 cents a share in the same quarter last year. Excluding non-recurring items, earnings would have come in at 90 cents a share. Revenue climbed 5% to $8.12 billion versus $7.73 billion last year. Analysts had forecasted earnings of 96 cents a share and revenue of $7.67 billion. The company now sees 2005 earnings of $2.75 to $2.80 a share. Excluding the special items recorded in 2Q, the target would be $2.64 to $2.69 a share. Analysts are looking for earnings of $2.76 a share. The stock finished Monday down 16 cents at $44.04.
7-Eleven Inc. (
SE: chart), a convenience store chain, reported that 2Q net income jumped to $57.2 million, or 50 cents a share, versus $47 million, or 42 cents, a year earnings. Core earnings jumped to $55.3 million, or 44 cents, versus $48.1 million, or 39 cents, last year, and above analysts' forecast for 43 cents a share. Revenue for the quarter ended June 30 climbed to $2.15 billion versus $2.02 billion a year ago. The Dallas-based company backed its fiscal 2005 guidance for core earnings of $1.12 to $1.16 a share. The company's shares ended Monday at $34.33, up $1.01.
Verizon Communications (
VZ: chart) reported 2Q earnings of $2.1 billion, or 75 cents a share, up versus a year-earlier profit of $1.8 billion, or 64 cents a share. Excluding items, such as a $336 million gain from the sale of wireline and directory operations in Hawaii and tax-related benefits and expenses, the company earnings totaled $1.8 billion, or 63 cents a share, unchanged versus a year ago. Revenue increased 4.6% in the latest quarter to $18.6 billion versus $17.8 billion in the comparable quarter last year. Analysts had been looking for a profit of 64 cents a share in the June period. The company’s wireless business performed very well reaching a year-over-year revenue growth of 14.6% and gaining 1.9 million net new customers. Verizon sees an increase of 15% in capital spending in 2005 vs. its 2004 total of $13.3 billion, above an earlier target for a jump of 10%. The stock closed Monday at $34.02, down 15 cents.
Lexmark International (
LXK: chart), a printer maker, reported 2Q earnings of $79.9 million, or 64 cents a share, down versus $136.6 million, or $1.02 a share in the comparable quarter last year. Excluding non-recurring items, such as a tax cost for the repatriation of earnings, the company would have earned $1.06 a share, meeting analysts’ estimates. Revenue advanced 3% to $1.28 billion versus $1.25 billion last year and below analyst forecasts of $1.33 billion, on 9% increase in laser and inkjet supplies revenue. The company now sees 3Q earnings of 95 cents to $1.05 a share, below analyst expectations of $1.06 a share, and also expects low single-digit percentage revenue jump. The company’s stock closed Monday down $1.87 at $68.55.
Netflix, online DVD rental services provider, posted 2Q net income rise of 9 cents per share, up from 4 cents a year ago on lower costs and fewer subscriber cancellations. The company raised its 2005 profit to $2.4 million to $11.9 million compared with earlier forecast of a loss between $5 million to $15 million.
Archipelago Holdings, stock-exchange operator, reported net income fall of 6 cents per share vs. 42 cents for the last-year same quarter, citing sharply higher expenses, including acquisition costs.
Starwood Hotels & Resorts Worldwide, hotel and leisure services provider, announced 2Q profit drop of 65 cents a share, down from 72 cents a year earlier, including after-tax charge of $11 million. The company projected full-year profit before special items to be $484 million.
Waddel & Reed, fund manager, reported 2Q net loss of 9 cents per share on legal, personnel and restructuring charges. Excluding these items the company posted earnings of 27 cents a share vs. 31 cents a year ago.
Mother’s Work, maternity-apparel retailer, posted 3Q income fall of $1.03 per share vs. $1.24 a year ago on 9% lower same-store sales. The company forecast 4Q net loss in the range of 52 to 72 cents a share and same-store sales from down 1% to up 1%.