Movers: Amazon.com, Ford, 3M, Qualcomm, Ryland Group
Amazon.com (AMZN) posts $0.37, vs. $0.19 a year ago, second quarter EPS on 41% sales rise. Sees third quarter sales of $4.2-$4.425 billion and operating income of $115-$160 million, or between 6% decline and 31% growth year-over-year. Sees 2008 sales of $19.35-$20.10 billion and operating income of $745-$920 million. S&P reiterates hold.
Ford Motor (F) posts $3.88 second quarter loss per share, vs. $0.31 EPS a year ago, on 6.1% revenue drop, pre-tax special charges of $8 billion, including impairments of $5.3 billion for Ford North America long-lived assets, $2.1 billion for Ford Motor Credit's operating lease portfolio. Says the second half will continue to be challenging. Accelerates transformation plan with addition of several new fuel-efficient small vehicles in North America, convert 3 existing North American truck, SUV plants for small car production.
Daimler AG (DAI) posts €1.40, vs. €1.74, second quarter EPS as the company's interest in Chrysler offset 6.5% revenue rise. Due to slowdown of global growth, rising raw-material prices, unfavorable forex effects cuts €7.7 billion 2008 from ongoing operations forecast to more than €7 billion, not including effects related to Chrysler.
3M (MMM) posts $1.39, vs. $1.23, second quarter EPS (excluding special items) on 9.7% sales rise. Reiterates its 2008 forecast for EPS to increase a minimum of 10% over 2007 EPS of $4.98, which excludes special items.
Qualcomm (QCOM) and Nokia (NOK) enter into a new agreement covering various standards including GSM, EDGE, CDMA, WCDMA, HSDPA, OFDM, WiMax, LTE and other technologies. The agreement will result in settlement of all litigation between the companies, including the withdrawal by NOK of its complaint to the European Commission. Separately, QCOM posts $0.45, vs. $0.47, third quarter GAAP EPS despite 19% revenue rise. S&P maintains hold.
Ryland Group (RYL) posts $5.70 second quarter loss (including inventory valuation adjustments and write-offs, joint venture impairments and an income tax charge), vs. $1.25 loss, on 34% revenue decline. Housing gross profit margins averaged 12.5% prior to inventory and joint venture valuation adjustments and write-offs for second quarter '08 vs. 19% in year ago quarter.
Chipotle Mexican Grill (CMG) posts $0.74, vs. $0.60 a year ago, second quarter EPS on 7.1% higher same-store sales, 24% higher total sales. Earnings miss Street view by a penny. Management expects 2008 same-store sales to increase in the mid single digits. Jefferies downgrades to hold from buy.
In an agreement reached with the Federal Communications Commission late Wednesday that brings the merger of the two satellite radio companies closer to fruition, XM Satellite Radio Holdings (XMSR) will pay $17.5 million and Sirius Satellite Radio (SIRI) will pay $2.2 million to settle agency rules violations.
Bristol-Myers Squibb (BMY) posts $0.43, vs. $0.31, second quarter non-GAAP EPS from continuing operations on 16% sales rise. Reaffirms its $1.60-$1.70 2008 non-GAAP EPS from continuing operations forecast. Plans to cut an additional $1 billion in costs by 2012, which on top of $1.5 billion expected to be completed by 2010.
RadioShack (RSH) posts better-than-expected $0.32, vs. $0.34, second quarter EPS on 6.9% same-store sales rise, 6.4% total sales rise. Sets new $200 million stock buyback.
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