Dell Says First Quarter Earnings Will Miss Expectations

GM finalizes first quarter results; Fannie Mae identifies more accounting problems; plus more stocks in the news Monday

Dell (DELL) sees first quarter earnings per share (EPS) (Generally Accepted Accounting Principles) of about 33 cents on revenue of $14.2 billion vs. original guidance of 36 cents to 38 cents EPS on $14.2 billion to $14.6 billion revenue. It notes support infrastructure, product quality investments, and pricing adjustments.

General Motors (GM) finalizes first quarter results to reflect accounting treatment for recently approved retiree health-care agreement, as well as other adjustments. As such, GM says its first quarter EPS were 78 cents.

Fannie Mae (FNM) files Form 12b-25 with the Securities and Exchange Commission to report that it will not timely file its first quarter 10-Q. It identified additional accounting problems.

Verizon Communications (VZ) CBS Marketwatch published an unconfirmed report that the telecom made an offer to buy from Vodafone its 45% stake in Verizon Wireless.

McDonald's (MCD) posts 6.2% higher April global comp sales, 4.1% higher U.S. comp sales, and 9.3% higher Euro sales.

Cablevision Systems (CVC) posts 20 cents first quarter loss vs. 31 cents loss from continuing operations on a 16% revenue rise. It says operating net income in the first quarter was $103.1 million vs. $74.9 million.

Tenet Healthcare (THC) posts 3 cents vs. 4 cents first quarter EPS from continuing operations on a 3.5% revenue decline. It says first quarter same-hospital admissions fell 3.3%.

US Airways Group (LCC) posts 5 cents first quarter EPS (excluding items) vs. $1.09 loss on a sharp revenue rise.

Hansen Natural (HANS) posts 84 cents vs. 37 cents first quarter EPS on an 89% gross sales rise. Separately, it announces a deal whereby Anheuser-Busch wholesalers will become distributors of Hansen energy drinks.

SanDisk (SNDK) plans to sell $1 billion principal amount of Convertible Senior Notes.

Coach (COH) sets a $500 million share buyback.

Six Flags (PKS) posts 94 cents first quarter loss vs. 91 cents loss (adjusted) on a 14% revenue decline. It still targets 2006 revenue growth of 8% to 9%. It inks a deal to sell the 104-acre site of AstroWorld in Houston, Texas, for $77 million.

WCI Communities (WCI) posts 89 cents vs. 35 cents first quarter EPS on a 23% revenue rise. Due to lower demand for its Florida active adult communities, tower residences, and higher-priced Mid-Atlantic homes, it cuts 2006 EPS guidance to between $4.50 and $5.00.

Wellcare Health (WCG) posts 42 cents vs. 27 cents first quarter EPS on a 74% revenue rise. It says membership doubled to over 1.5 million. It also raises 2006 guidance to between $2.52 and $2.57 EPS on revenue of $3.4 billion, from $2.37 to $2.42 EPS on revenue of $3.1 billion.

Sara Lee (SLE) posts 18 cents vs. 19 cents third quarter EPS from continuing operations on a slight sales drop. It anticipates 27 cents to 32 cents fourth quarter EPS, excluding any results from discontinuing operations, as well as charges associated with transformation that may be recognized.

Lamar Advertising (LAMR) posts a penny vs. 5 cents first quarter EPS as higher operating expenses offset an 8.8% revenue rise.

Mastec (MTZ) posts 6 cents second quarter EPS vs. 11 cents loss from continuing operations on a 13% revenue rise. It still expects 2006 revenue of $950 million to $975 million and EPS from continuing operations of 70 cents to 80 cents.

Sunrise Senior Living (SRZ) delays its first quarter report to further review accounting treatment applied to its investments in unconsolidated senior living communities, and to complete review of its first quarter 10-Q.

DTS (DTSI) posts 38 cents vs. 19 cents first quarter EPS on a 30% revenue rise.

Warnaco Group (WRNC) posts 34 cents vs. 63 cents first quarter EPS as gross profit margin of the sportswear group and higher expenses offset a 6.1% rev increase. It sees second quarter operating EPS results similar to the year-ago period. It sees 2006 revenue growth at least in the low-20%.

Blackboard (BBBB) posts better-than-expected 7 cents vs. 20 cents first quarter EPS (non-GAAP) despite a 20% product revenue rise. It sees 9 cents to 10 cents second quarter loss (non-GAAP) and 8 cents to 13 cents 2006 EPS (non-GAAP).

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