Massey Energy shares fall on lower earnings
(10:25 AM ET) NEW YORK (MarketWatch) – Massey Energy(MEE)fell 7.6% to $28.92 after the coal producer reported a drop of 68% in third-quarter net income. The Richmond, Va. company’s earnings fell to $16.5 million, or 19 cents a share, from $51.6 million, or 61 cents a share in the year-ago period. Analysts expected earnings of 18 cents a share.
Drug stocks dip; Illumina plunges on earnings
(9:46 AM ET) BOSTON (MarketWatch) – Drug stocks dipped in early trading Wednesday as shares of Illumina Inc.(ILMN)plunged after it issued a weaker-than-expected third-quarter earnings report. The NYSE Arca Pharmaceutical Index(DRG)was virtually flat at 291.58 and the NYSE Arca Biotechnology Index(BTK)fell 1% to 852.70. Shares of Illumina tumbled 16% to $35.01.
Public Service Enterprise earnings drop
(8:58 AM ET) NEW YORK (MarketWatch) – Public Service Enterprise Group(PEG)said Wednesday that third-quarter earnings were $488 million, or 96 cents a share, compared to $656 million, or $1.29 a share, in the same period a year ago. Earnings from continuing operations were 96 cents compared to 94 cents. Analysts polled by FactSet Research estimated, on average, earnings per share of 90 cents. The utility says it will be difficult to meet the high end of its 2009 earnings per share range of $3.00-$3.25.
ConocoPhillips posts lower quarterly profit
(8:41 AM ET) NEW YORK (MarketWatch) – ConocoPhillips(COP)said Wednesday that its third-quarter net income dropped 71% to $1.5 billion, or $1.00 a share, from $5.2 billion, or $3.39 a share, in the year-ago period. The Houston-based oil giant was expected to earn 95 cents a share, according to a survey of analysts by FactSet Research.
Goodyear Tire earnings higher, sales lower
(8:13 AM ET) NEW YORK (MarketWatch) – The Goodyear Tire & Rubber Co.(GT)said Wednesday that third-quarter earnings were $72 million, or 30 cents a share, compared to $31 million, or 13 cents a share, in the same period a year ago. Sales were $4.39 billion compared to $5.17 billion. Analysts polled by FactSet Research estimated, on average, earnings per share of 36 cents and sales of $4.32 billion.
Southern Co. net income edges up
(7:50 AM ET) NEW YORK (MarketWatch) – Southern Company(SO)said third-quarter earnings rose 1.2% to $790 million, or 99 cents a share, from $780.4 million, or $1.01 a share, in the year-ago period. Revenue dropped to $4.68 billion from $5.4 billion. Wall Street analysts expected the Atlanta-based utility to earn 99 cents a share, according to a survey by FactSet Research. “While the economy continues to take its toll, we are seeing signs of stabilization and what may be the beginnings of recovery in certain sectors in our region,” the company said. “We realized an 11% increase in industrial sales over the second quarter of 2009.”
Coca-Cola Enterprises earnings rise, beat forecast
(7:44 AM ET) NEW YORK (MarketWatch) – Coca-Cola Enterprises [s:CCE] said Wednesday that third-quarter earnings were $247 million, or 50 cents a share, compared to $214 million, or 44 cents a share, in the same period a year ago. Revenue fell 3% to $5.57 billion compared to $5.74 billion. Adjusted earnings per share were 51 cents versus 46 cents. Analysts polled by FactSet Research estimated, on average, earnings per share of 45 cents and sales of $5.71 billion. Coca-Cola Enterprises raised its 2009 earnings-per-share view to a range of $1.54 to $1.57.
Owens Corning posts quarterly profit
(7:44 AM ET) NEW YORK (MarketWatch) – Owens Corning Inc.(OC)said Wednesday that it swung to a third-quarter profit of $80 million, or 63 cents a share, from a loss of $807 million, or $6.35 a share, in the same quarter a year ago. On an adjusted basis, earnings in the latest period were 61 cents a share for the maker of building and engineered materials, compared with the year-earlier 57 cents. Revenue for the quarter was $1.35 billion compared to $1.63 billion in the year-ago period.
Sealed Air profit rises absent restructure charge
(7:43 AM ET) NEW YORK (MarketWatch) – Sealed Air Corp., maker of bubble wrap and other packaging materials, said on Wednesday that its third-quarter profit rose to $60.6 million, or 34 cents a share, from $9.2 million, or 5 cents a share a year ago. Last year’s results included a $61.3 million restricting charge. Third-quarter net sales fell to $463.4 million from $479.7 million. Analysts polled by FactSet Research had, on average, expected the company to earn 33 cents a share.
Hess Corp. net income falls 56%, production up
(7:38 AM ET) NEW YORK (MarketWatch) – Hess Corp.(HES)said Wednesday its third-quarter net income fell to $341 million, or $1.05 a share, from $775 million, or $2.37 a share in the year-ago period. The New York-based oil and gas company increased its production by 16% to 420,000 barrels a day, from 361,000 barrels a day. Revenue fell to $7.38 billion from $11.4 billion. Wall Street analysts expected net income of 52 cents a share, according to a survey by FactSet Research. Exploration and Production results included after-tax income of $89 million related to the resolution of a U.S. royalty dispute. Capital and exploratory expenditures fell to $668 million, from $1.37 billion.
Visteon narrows loss on 18% lower sales
(7:38 AM ET) TEL AVIV (MarketWatch) – Visteon Corp.,(VSTN)the Van Buren Township, Mich., auto-parts supplier, narrowed its third-quarter net loss on 18% lower sales. The loss was $38 million, or 29 cents a share, compared with $188 million, or $1.45, in the year-earlier quarter. Sales totaled $1.73 billion compared with $2.12 billion. At the end of the quarter, Visteon had cash on hand totaling $814 million. The auto industry “is recovering from historically low levels of production,” but challenges remain “as the industry stabilizes,” Chairman and Chief Executive Donald J. Stebbins said in a statement on Wednesday. In the quarter, product sales to Ford and Hyundai-Kia each accounted for 27% of total product sales, while Renault-Nissan and PSA Peugeot Citroen accounted for 10% and 6% respectively. Product sales in the quarter totaled $1.67 billion, down 17% from third-quarter 2008 and up 13% from second-quarter 2009.
Wyndham’s net declines; 2009 outlook boosted
(7:28 AM ET) BOSTON (MarketWatch) – Wyndham Worldwide Corp.(WYN)said Wednesday its third-quarter net income dropped to $104 million, or 57 cents a share, from $142 million, or 80 cents a share, in the same quarter last year. Eight analysts polled by FactSet Research had forecast quarterly profit of 56 cents a share, on average. The hotel operator raised its full-year outlook for earnings before interest, taxes, depreciation and amortization to a range of $775 million to $825 million, compared with between $760 million and $810 million previously.
PepsiAmericas earnings fall, miss Street view
(7:26 AM ET) NEW YORK (MarketWatch) – PepsiAmericas Inc.(PAS)said Wednesday that third-quarter earnings were $64 million, or 51 cents a share, compared to $73 million, or 58 cents a share, in the same period a year ago. On an adjusted basis earnings were 52 cents a share. Sales were $1.13 billion compared to $1.33 billion. Analysts polled by FactSet Research estimated, on average, earnings per share of 62 cents and sales of $1.24 billion. PepsiAmericas sees adjusted earnings per share for 2009 in a range of $1.83 to $1.87.
Unisys swings to third-quarter profit
(7:24 AM ET) NEW YORK (MarketWatch) – Unisys Corp.(UIS)said Wednesday that it swung to a third-quarter profit of $61.1 million, or $1.48 a share, from a loss of $34.7 million, or 96 cents a share, in the year-ago period. Revenue declined to $1.16 billion from $1.31 billion. The Blue Bell, Pa.-based technology firm said that the earnings-per-share figures in the latest quarter reflect the company’s recent one-for-10 reverse stock split.
Interpublic Group profit falls 56%
(7:19 AM ET) NEW YORK (MarketWatch) – Interpublic Gruop of Companies Inc.(IPG)said Wednesday its third-quarter profit dropped to $17.2 million, or 3 cents a share, from $38.7 million, or 8 cents a share in the year-ago period. Revenue dropped 18% to $1.43 billion. Wall Street analysts expected earnings of 2 cents a share on revenue of $1.43 billion, according to a survey by FactSet Research. “During the quarter, the economic downturn continued to weigh on our results,” the company said. “Once again, we demonstrated the ability to effectively manage costs in order to protect margins. Our professional offerings remain competitive, as evident in recent wins from a broad cross-section of our agencies in a new business environment that has become more active of late.”
Qwest Communications profit falls 36%
(7:13 AM ET) NEW YORK (MarketWatch) – Qwest Communications International Inc.(Q)said Wednesday its third-quarter net income fell 36% to $136 million, or 8 cents a share, from $212 million, or 12 cents a share in the year-ago period. Excluding a 1 cent charge for severance, realignment and restructuring cost and litigation expenses, the telecommunications firm earned 9 cents a share. Revenue fell to $3.05 billion from $3.09 billion. Analysts expected earnings of 7 cents a share and revenue of $3.07 billion, according to a survey by FactSet Research. The company’s full-year adjusted free cash flow is now expected to be $1.6 billion to $1.7 billion, ahead of its earlier view of $1.5 to $1.6 billion.
Newell Rubbermaid net up; year outlook raised
(6:56 AM ET) TEL AVIV (MarketWatch) – Newell Rubbermaid,(NWL)the Atlanta household-products company, reported on Wednesday that third-quarter net income rose 54% on 18% lower net sales. Profit reached $85.5 million, or 28 cents a share, from $55.6 million, or 20 cents, in the year-earlier quarter. Adjusted earnings were 38 cents against 35 cents. Shares outstanding rose 7.8% to 301.8 million. Net sales fell to $1.45 billion from $1.76 billion. A survey of analysts by FactSet Research produced a consensus estimate of 35 cents of profit on sales of $1.49 billion. Gross-profit margin for the quarter was 37.4%, up 4.8 percentage points from a year earlier. For the year, Newell Rubbermaid raised its estimate of adjusted earnings to a range of $1.27 to $1.32 a share. FactSet’s survey is looking for $1.26 for the year. The company affirmed that sales would come in at the “unfavorable end” of a decline ranging from 10% to 15%. (Repeating to fix headline.)
SPX cuts 2009 earnings view after profit fall
(6:45 AM ET) LONDON (MarketWatch) – Charlotte, N.C. manufacturer SPX(SPW)cut its 2009 outlook after saying net income fell to $46 million, or 94 cents a share, from $117 million, or $2.16 a share. Revenue fell 21% to $1.17 billion. From continuing operations, it earned 98 cents a share, and the group cut its earnings outlook to a range of $3.80 to $4 a share from $4 to $4.30 a share as its recovery is expected to lag that of the broader economy, though the company increased its cash flow guidance to a range of $270 million to $290 million from $230 million to $270 million. Analysts polled by FactSet expected earnings of 85 cents a share for the quarter and $3.96 for the year.
Enterprise Products posts lower net, revenue
(6:39 AM ET) WASHINGTON (MarketWatch) – Enterprise Products Partners L.P.(EPD)reported third-quarter net income of $212.9 million, or 36 cents a unit, as opposed to $203.1 million, or 38 cents, earned in the same period during 2008. Quarterly revenue generated by the Houston-based provider of natural gas and pipeline services fell to nearly $4.6 billion from the prior year’s $6.3 billion, primarily due to lower commodity prices. There were about 6% more average limited-partner units outstanding in the latest quarter than a year earlier. Special items taken for repairs made as a result of hurricanes during 2008 had the effect of reducing earnings per unit by 11 cents during the most recent quarter, partially offset by 4 cents a unit for proceeds realized from business-interruption insurance, Enterprise Products said. The company’s operating income came in at $365 million for the latest quarter, up from $319 million for the same quarter during 2008.
WellPoint profit drops 11% as revenue slips
(6:18 AM ET) LONDON (MarketWatch) – Indianapolis health insurer WellPoint(WLP)said its third-quarter net income dropped 11% to $730.2 million, or $1.53 a share, after investment gains of 3 cents a share and an impairment charge of 28 cents a share. Improving consumer segment results was offset by declining membership and a 0.7% fall in revenue to $15.2 billion. For the year, it expects earnings between $5.06 and $5.12 a share including 52 cents a share of investment losses and a 28 cents a share impairment charge – it previously saw the same range including 54 cents a share of investment losses and no impairments. Operating revenue is now expected to be $60.9 billion, vs. a previous projection of $60.6 billion. Analysts polled by FactSet expected earnings of $1.38 for the third quarter and $5.64 for the year.
BoCom quarterly net up 0.7% to $1.07 billion
(5:52 AM ET) HONG KONG (MarketWatch) – Bank of Communications(3328), China’s fifth-largest lender by assets, reported Wednesday third-quarter net income of 7.32 billion yuan ($1.07 billion), or 0.15 yuan a share, a rise of 0.7% from the 7.21 billion yuan, or 0.14 yuan a share, a year earlier. The bank said the gains were related to improvements in net interest margin, which was at 2.22% at the end of September, up 1 basis point from the end of June, while impaired loans were at 1.44%, a decrease of 0.48 percentage point from the beginning of the year. Net interest income for the third quarter totaled 17.39 billion yuan, a rise of 14.4% over the second quarter, and nudging up from 17.27 billion yuan in the year-earlier quarter. The Shanghai-based bank, also known as Bocom, is 18.6%-held by HSBC Holdings(HSBA)(HBC). Bocom said loans and advances to customers rose 36% while deposits were up 28.5% in the first nine months.
Nordea Bank profit slips 4.4%, beats expectations
(4:12 AM ET) LONDON (MarketWatch) – Nordea Bank(NDASEK)said Wednesday that its third-quarter net profit slipped 4.4% to 626 million euros ($928 million). The drop was due to rising net loan losses, which increased to 358 million euros from 89 million euros a year earlier. The loan losses, however, were lower than the 425 million euros reported in the second quarter of 2009. Analysts had been expecting a net profit of 385 million euros, according to Dow Jones Newswires. Nordea said it had seen an increase in its total number of customers and market share during the quarter and that net interest income rose 2% to 1.3 billion euros. The group said risk-adjusted profit is expected to be higher in 2009 than in 2008 and that loan losses in relation to lending are expected to remain broadly at the same level for the full year, though the risk of higher loan losses remains.
Santander net profit flat at 2.22 billion euros
(3:57 AM ET) MADRID (MarketWatch) – Spain’s Banco Santander(SAN)(STD)on Wednesday reported third-quarter profit of 2.22 billion euros ($3.3 billion), little changed from a profit of 2.21 billion euros in the year-ago period. Analysts surveyed by Dow Jones Newswires were forecasting net profit of 2.2 billion euros. Santander said the core capital ratio for September was 7.7% versus 6.7% a year earlier, while the rate of non-performing loans was 3.03% versus 1.71% a year earlier. The September coverage ratio was 73.32% versus 105.24% a year earlier.
Prudential sales drop 9% as U.K. retail weakens
(3:47 AM ET) LONDON (MarketWatch) – U.K. insurer Prudential(PRU)said Wednesday that total group insurance sales in the third quarter fell 9% on an annual premium equivalent basis to 700 million pounds ($1.15 billion). The decline was due to a 22% drop in U.K. retail sales and the decision to hold wholesale insurance sales to a minimum as the group continues to focus on products with higher internal rates of return. Asia retail sales in the quarter rose 4% to 293 million pounds and U.S. retail sales jumped 66% to 249 million pounds. Separately Prudential said Nic Nicandrou has joined the group as chief financial officer. Nicandrou was previously at Aviva(AV)where he worked for 11 years, most recently as finance director of Norwich Union Life.
NEC Electronics cuts outlook, plans plant closure
(3:46 AM ET) TOKYO (MarketWatch) – Japanese semiconductor maker NEC Electronics Corp.(6723)(NELTF)Wednesday posted a group net loss of 38.1 billion yen ($415 million) for the March-September half-year, deeper than its 1.9 billion yen loss in the year-ago period, due to slower sales in all product categories and the effects of a stronge yen. It also cut its forcasts for the full fiscal year through March 2010, and now expects net sales to total 460 billion yen, down from its initial forecast of 480 billion yen, while semiconductor sales are expected to total 445 billion yen, a decrease of 15 billion yen from its initial forecast. Its full-year group net loss is expected to be 55.0 billion yen, a decrease of 46.0 billion yen. The company said it will close and sell a chip factory in Fukuoka in southern Japan by September 2011 as part of its domestic chip production reorganization plan.
TeliaSonera’s third-quarter net income rises 6%
(3:31 AM ET) FRANKFURT (MarketWatch) – Swedish telecommunications firm TeliaSonera AB(TLSN)(TLSNF)said Wednesday its third-quarter net income rose 6% to 5.04 billion Swedish kronor ($723 million) from the same period a year ago. Net sales rose 4.8% to 27.07 billion kronor. Earnings per share rose to 1.12 kronor from 1.06 kronor. The company affirmed its 2009 outlook, with net sales expected to be in line with or slightly below the level of 2008.
British American volumes up 2% after acquisition
(3:27 AM ET) LONDON (MarketWatch) – British American Tobacco(BATS)said Wednesday that consumers are finding the economic conditions difficult as unemployment continues to rise, which has led to a 3% drop in organic volumes in the last nine months. Total volumes rose 2% to 533 billion as a result of acquisitions. The group said group revenue grew strongly, driven by continued good pricing momentum and volume growth from the acquisitions, and also benefited from the favorable impact of exchange rate moves. The group said it has sufficient financing and facilities available for the foreseeable future.
Heineken lifts outlook for organic 2009 net
(3:21 AM ET) TEL AVIV (MarketWatch) – Heineken Holding NV,(HINKY)(HEIA)the Amsterdam brewer, reported third-quarter revenue fell 3.9% overall and 0.4% organically, while it lifted its forecast for organic net income for the year. Total net income for the year “may still be slightly lower than in 2008, due to weaker currencies in the second half … and the negative contribution of first-time consolidation in the first half,” Heineken said in a statement on Wednesday. Third-quarter revenue totaled 4.07 billion euros ($6.03 billion). Consolidated beer volume fell 4.1%. For the year, organically generated net income should grow by low-double-digits percent; the company’s previous forecast was at least high single digits.
ArcelorMittal net down; sees prices, shipments up
(2:40 AM ET) TEL AVIV (MarketWatch) – ArcelorMittal,(MT)(MT)the world’s No. 1 steelmaker, reported that third-quarter net income fell 76%, sales fell 35% and shipments fell 29%. Net income was $903 million, or 60 cents a share, compared with $3.82 billion, or $2.79, in the year-earlier quarter. Sales were $16.17 billion compared with $35.2 billion. A survey of analysts by FactSet Research was estimating a loss of 1 cent a share for the period. Shipments totaled 18.2 million metric tons compared with 25.6 million a year earlier. For the fourth quarter, the company expects earnings before interest, taxes, depreciation and amortization of $2 billion to $2.4 billion. “Shipments and average steel-selling prices are expected to be higher” in the fourth quarter than they were in the third, the company said in a statement on Wednesday. ArcelorMittal, Luxembourg, said the board recommended maintaining the dividend for 2010 at a total of 75 cents a share.
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