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Earnings Analysis: 
Joseph A. Bank Q3 Earnings Surge
Author: George Shopov
123jump.com


Joseph A. Bank Clothiers announced that its third-quarter profit soared 53%, boosted by higher sales. Results were ahead of Street views.

 
Joseph A. Bank Clothiers, Inc. (JOSB: chart) reported Monday that its quarterly earnings increased 53%, bolstered by strong same-store sales. The men's clothing retailer posted net income of $2.9 million, or 38 cents a share, for its fiscal third quarter. Analysts were looking for a profit of 35 cents a share on average. For the same period a year earlier, the Hampstead, Maryland-based company earned $1.9 million, or 26 cents a share. Joseph A. Bank said third-quarter sales jumped 24%, in the quarter ended November 1, to $72 million from $57.9 million, a year ago. Comparable-store sales were up 9%. The company said its third-quarter total inventories rose to $129.6 million from $ 77.2 million, in the prior-year quarter. The rise in inventories was attributed to the stocking of an additional 47 stores.

For the year, the company reaffirmed its guidance for earnings of $1.86 to $1.91 a share, which would be below Wall Street’s expectations of $1.94 a share.

Company shares tumbled 10.94% on Monday to $36.70. The stock recovered 7 cents to $36.77 in after-market trade.

Thor Industries, Inc. (THO: chart) said Monday its first-quarter net earnings jumped 14% to $23.7 million, or 83 cents a share, compared with a net profit of $20.8 million, or 73 cents a share, last year. The Jackson Center, Ohio-based maker of recreational vehicles said results were due to higher sales of its RVs and buses. For the quarter ended October 31, sales surged 21% to $490.4 million from $406.3 million, a year ago.

Thor shares dipped 3.05% on Monday to $59.12. The stock was up 0.06% to $59.15 in after-hours trading.

McDATA Corporation (MCDTA: chart) of Broomfield, Colorado, said Monday it swung to a third-quarter net loss of $50 million, or 44 cents a share, on revenue of $94.7 million, compared with a net profit of $2.3 million, or 2 cents a share, on revenue of $80.9 million, a year ago. Excluding charges, the storage networking company earned $2.1 million, or 2 cents a share, beating analysts’ forecasts for break-even.

The stock shed 5 cents to close Monday at $10.60. Company shares plunged 7.17% to $9.84 in after-hours trading.

Chartered Semiconductor Manufacturing Ltd. (CHRT: chart) forecast Monday stronger results for its fourth quarter, boosted by improving demand for its products. The Singapore-based world’s No.4 maker of custom-built microchips said it expects to post a fourth-quarter net loss of $40 million to $48 million, or a loss of 16 cents to 20 cents per ADS, compared with its previous projections of a net loss of $45 million to $55 million, or a loss of 18 cents to 22 cents per ADS.

Company shares rose 2.63% on Monday to close at $9.75.

Hollywood Entertainment Corp. (HLYW: chart) of Wilsonville, Oregon, said Monday it will post lower-than-expected quarterly earnings, due to weakness in rentals. The U.S. second-largest video chain now views fourth-quarter profit at 38 cents to 40 cents a share. For the year, the company expects to earn $1.42 to $1.44 a share. Analysts had forecast earnings of 49 cents a share in the quarter and $1.53 a share for the year.

The stock edged up 43 cents to $14.09 at market close Monday. Company shares plummeted 8.45% to $12.90 in after-hours trading.

Boosted by growth in its prestige fragrance lines, Inter Parfums, Inc. (IPAR: chart) raised Monday its 2003 earnings guidance to $13.4 million, or 67 cents per diluted share, from an earlier outlook for net profit of $12.7 million to $12.9 million. The New York-based perfume provider also said it expects 2003 sales of $182 million, in contrast to a previous estimate of $177 million to $179 million.

Company shares rocketed up 16.19% on Monday to $23.54. The stock gained 36 cents to $23.90 in after-market trade.

Walter Industries, Inc. (WLT: chart), the Tampa, Florida-based home builder and industrial products maker, said Monday it sees a fourth-quarter operating loss between 27 cents and 33 cents per share, citing higher costs and charges related to a debt payment. The company also projected a fourth-quarter net profit in the range of 5 cents to 15 cents per share.

The stock surged 5.96% to close Monday at $12.97.

SFBC International, Inc. (SFCC: chart) of Miami, Florida, upped Monday its 2003 earings per share outlook, taking into account a recent offering of 2 million shares of its common stock. The contract research company, which provides clinical trials for biotechnology and pharmaceutical firms, now expects to report a profit of $1.36 to $1.40 a share, for the year, on revenue of between $98 million and $103 million.

SFBC shares closed Monday up 19 cents, or 0.73%, at $26.10. The stock added 7 cents to $26.17 in after-hours trading.

Bicycle and sports equipment maker Huffy Corp. (HUF: chart) said Monday it expects fourth-quarter earnings to fall shy of its expectations, citing weaker sales and competition as main factors. The Miamisburg, Ohio-based company sees a loss of 8 cents to 10 cents a share from continuing operations, in the fourth quarter, on sales in the range of $120 million to $125 million.

Huffy shares inched down 3 cents on Monday to $6.80.

D.R. Horton, Inc. (DHI: chart) of Arlington, Texas, reiterated Monday its previous first-quarter earnings outlook and raised its fiscal 2004 earnings guidance, after the No.2 U.S. homebuilder announced a three-for-two stock split. The company said after the split it expects to post a profit of 60 cents to 63 cents a share for the first quarter, and earnings of $3.00 to $3.07 a share for its fiscal 2004.
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