Movers: UAL, Netflix, McDonald's, Texas Instruments, UnitedHealth, AT&T, DuPont
UAL Corp. (UAUA) falls 35% to 14.21 after it posts $4.45 first quarter loss per share, vs. $1.32 loss a year ago, as a $618 million increase in consolidated fuel expense offsets a 7.7% rise in operating revenue.
Netflix (NFLX) posts $0.21, vs. $0.14 a year ago, first quarter GAAP EPS on 7% revenue rise. Says it ended first quarter 2008 with about 8.243 million total subscribers, representing 21% year-over-year growth. Gross margin narrowed. Sees second quarter GAAP EPS of $0.33-$0.42 on revenue of $334-$339 million, ending subs of 8.3-8.5 million, 2008 revenue of $1.35-$1.39 billion, GAAP EPS of $1.16 to $1.29, compared to current Street view of $1.25. Piper Jaffray removes from Alpha List, keeps buy.
McDonald's (MCD) reports first-quarter profits rise 24%. It posted earnings of 81 cents per share, up from 62 cents a year ago, as revenue rose 6%.
Texas Instruments (TXN) posts $0.49 (including $0.06 tax benefit), vs. $0.35 a year ago, first quarter, EPS on 3% revenue rise. Says revenue declined 8% sequentially, primarily due to weaker sales into cell phones, especially high-end cell phones. Gross profit also declined from the foryth quarter. Sees second quarter total revenue of $3.24-$3.5 billion, EPS of $0.42-$0.48, which is seen below Street view. S&P maintains hold.
UnitedHealth Group (UNH) posts lower-than-expected $0.78, vs. $0.66 a year ago, first quarter EPS on 6.6% revenue rise. Cuts 2008 EPS forecast by 10%, or $0.40, to $3.55-$3.60. S&P maintains hold.
DuPont (DD) posts $1.31, vs. $1.01, first quarter EPS on 7.5% revenue rise. Maintains $1.05 second quarter EPS forecast, reaffirms 2008 EPS outlook of $3.40-$3.55.
AT&T (T) posts $0.74, vs. $0.65, first quarter adjusted EPS on 6.1% revenue rise.
Genzyme (GENZ) says FDA will require GENZ to submit a separate biologics license application (BLA) to gain approval for Myozyme produced at the 2000L scale. As a result, GENZ now sees 2008 Myozyme sales of about $275-$285 million, vs. previous guidance of $320-$330 million, reflecting delay in approval of 2000L production. Believes delay will have an impact on 2008 non-GAAP EPS of about $0.10, bringing expected EPS to about $3.90.
Novellus Systems (NVLS) posts $0.15, vs. $0.42 a year ago, first quarter EPS on 21% sales decline. Bookings fell 13% from fourth quarter, while shipments fell 14%. Reportedly sees second quarter sales of $245-$260 million, vs. first quarter sales of $314.7 million.
Lexmark International (LXK) posts $1.07, vs. $0.95, first quarter GAAP EPS despite 6.3% revenue decline. For second quarter, expects revenue to be down in the mid-single digit percentage range, sees GAAP EPS of $0.54-$0.64.
Coach (COH) posts $0.46, vs. $0.39 a year ago, fourth quarter EPS on 19% total sales gain. For fiscal year 2008, sees sales of $3.18 billion, an increase of about 22% from the prior year, and EPS of $2.06, also representing an increase of about 22%.
Corn Products International (CPO) posts $0.85, vs. $0.66 a year ago, first quarter EPS on 22% sales rise. Raises $2.65-$2.85 2008 EPS guidance to $2.90-$3.15.
Baker Hughes (BHI) posts $1.27 (including $0.06 gain), vs. $1.17, first quarter EPS on 8% revenue rise. Sees 2008 revenue, outside of North America, up in percentage range from low to mid-teens vs. 2007, with capex of about $1.3 billion.
Airtran Holdings (AAI) posts $0.38 first quarter loss per share, vs. $0.02 EPS a year ago, as higher fuel costs, other operating expenses offset 18% revenue rise. To reduce its planned growth in capacity commencing in last four months of 2008 from planned 10% increase to no more than flat; will also reduce planned capacity growth next year from just under 10% to no more than flat. To offer $65 million of convertible senior notes, 14.25 million common shares.
Ethan Allen Interiors (ETH) posts $0.39, vs. $0.54 a year ago, third quarter EPS (non-GAAP) on 4.3% lower sales.
Downey Financial (DSL) posts $8.99 first quarter loss per share, vs. $1.54 EPS a year ago, on 27% drop in interest income, 81% drop in net gains on sales of loans and mortgage-backed securities. Declares $0.12 quarterly cash dividend. However, says it will suspend future dividend payments in order to preserve capital.
Lockheed Martin (LMT) posts $1.75, vs. $1.60 a year ago, first quarter EPS on 7.6% sales rise. Sees 2008 EPS of $7.15-$7.35 on sales of $41.8-$42.8 billion.
Ferro (FOE) raises first quarter EPS guidance to $0.16-$0.18, including about $0.10 in special charges, or $0.26-$0.28 before the charge. Previous guidance had been for EPS of $0.12-$0.17, including $0.05 of special charges. Now sees sales of about $600 million, exceeding its previous estimates of sales between $550-$575 million.
Everest Re Group (RE) posts $3.03, vs. $4.13 a year ago, first quarter operating EPS on 14% decline in gross written premiums. Says U.S. Reinsurance segment saw the largest decline as a result of increasingly competitive conditions in both the property and casualty sectors of the market.