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High (and low) lights from this week's earnings releases

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Numbers are Actual vs. Estimate

Excellent Reports
  • InterActiveCorp (NASDAQ: IACI) 67c vs. 53c
    • Retailing revenue increased to offset a lower price point average, and a higher average return rate. International revenue increased slightly, but profits were hurt by higher operating expenses. Ticketing volume increased as ticket sales rose 4% on 7% higher overall revenue per ticket.
  • National-OilWell Varco Inc (NYSE: NOV) $1.35 vs. $1.06
    • High energy prices stirred demand for drilling equipment which created a backlog of capital equipment orders for the Rig Technology segment.
  • Electronic Data Systems Corporation (NYSE: EDS) 47c vs. 36c
    • "On balance," said chairman and CEO Mike Jordan, "This was the strongest quarter... since I joined the company in 2003." Performance was driven by $7.6B in fourth quarter contracts, up 43% from the previous year.
On the Fence
  • Automatic Data Processing Inc (NYSE: ADP) 52c vs. 51c
    • The Employer Services' purchase was being integrated into the company as they remain confident about of growth given demand for its services. The company expects earnings will be at the higher end of its 17% to 20% growth outlook in 2007.
  • Cisco Systems Inc (NASDAQ: CSCO) 33c vs. 31c
    • The company is under increased scrutiny over concerns that it will not be able to sustain growth rates because of slowdowns in orders in some segments, especially U.S. businesses. Cisco is benefiting from service providers upgrading their networks and boosts in bandwidth to handle video downloads.
  • PepsiCo Inc (NYSE: PEP) 72c vs. 72c
    • A profit increase was helped by international market growth, but the North American beverage volume had the smallest increase in six quarters. Gatorade sales slowed, and the company is counting on health and sports drinks to move them forward.

Awful Reports
  • Torchmark Corporation (NYSE: TMK) $1.21 vs. $1.30
    • Profits were up thanks to gains in the life insurance division and a new health insurance product, but the company missed its forecasts.
  • Reynolds American Inc (NYSE: RAI) 81c vs. 85c
    • The company suffered its worst earnings decline in five quarters. Contributing to that was a $90M write down charge for non-growth brands. The company also shipped fewer cigarettes to wholesale customers.

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IndexesChangePrice
DJIA+44.2910,291.26
NASDAQ+15.822,166.90
S&P 500+5.501,098.51

Last updated: November 12, 2009: 02:18 AM

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