NEW YORK–(BUSINESS WIRE)–Alcoa (NYSE: AA – News) today announced third quarter 2009 income from continuing operations of $73 million, or $0.07 per diluted share, compared to a loss from continuing operations of $312 million, or $0.32 per share, in the second quarter 2009. Income from continuing operations in the third quarter of 2008 was $306 million, or $0.37 per share. Excluding restructuring and special items, income for the third quarter 2009 was $39 million, or $0.04 per share.
The third quarter of 2009 had net income of $77 million, or $0.08 per share, compared with a net loss for the second quarter of 2009 of $454 million, or $0.47 per share. Net income in the third quarter of 2008 was $268 million, or $0.33 per share. Discontinued operations for the third quarter of 2009 had income of $4 million, or $0.01 per share. The second quarter of 2009 had a loss of $142 million, or $0.15 per share.
Restructuring and special items in the quarter totaled $34 million, or $0.03 per share. These items included a gain on the completion of a transaction to acquire bauxite and alumina refining interests in Suriname of $35 million and restructuring charges of $17 million before tax ($1 million after tax and noncontrolling interests).
Revenues for the quarter were $4.6 billion compared with $4.2 billion in the second quarter of 2009, a nine percent increase. Revenues were $7.0 billion in the third quarter of 2008. Sequentially, revenues were helped by an increase in realized prices for primary aluminum to $1,972 per metric ton from $1,667 per metric ton in the second quarter, as well as stabilization in the end markets.
“The financial and operational measures we took in the first half of the year are having a strong positive impact on our cash position and profitability,” said Klaus Kleinfeld, Alcoa President and Chief Executive Officer. “Despite unfavorable currency and energy headwinds, our performance this quarter indicates that Alcoa is weathering the economic storm and is in excellent shape to benefit when the market recovers.”
The Company is exceeding all the targets of its Cash Sustainability Program, which helped to offset negative currency and energy impacts in the quarter of $89 million. Overhead savings are $375 million, 188 percent of the full year target for 2009, and procurement savings are $1.61 billion, 107 percent of the full-year target. Reductions in working capital have generated $780 million in cash, or 98 percent of the 2009 target of $800 million.
Cash from operations in the quarter was $184 million compared with $328 million in the second quarter of 2009 as working capital reductions continued, yet at a slower pace due to rising prices. Cash from operations in the third quarter 2008 was a negative $93 million. EBITDA in the quarter improved by $454 million from zero in the second quarter of 2009.
During the quarter, the Company received the final $520 million of proceeds from the exiting of the Shining Prospect venture and finished the quarter with $1.1 billion of cash on hand. The Company’s debt-to-capital ratio stood at 38.3 percent at the end of the quarter, a 140 basis point reduction from the second quarter of 2009.
Capital expenditures in the quarter were $370 million, on-target to reach the 2009 goal of a nearly 50 percent reduction from 2008. In the quarter, the Company commissioned its Juruti bauxite mine in Brazil and new lithographic sheet operations in Bohai, China. This follows the opening of a new end and tab line in Russia in late-June. These investments will lower costs and position the Company well for growth as economies improve in those important markets.
Revenues for the first nine months of 2009 were $13.0 billion, compared to $21.2 billion in the first nine months of 2008. Income from continuing operations for the first nine months of 2009 showed a loss of $719 million, or $0.78 per share, compared with income of $1.2 billion, or $1.40 per share, in the first nine months of 2008. The nine months of 2009 showed a net loss of $874 million, or $0.95 per share, compared to net income of $1.1 billion, or $1.35 per share, in the first nine months of 2008.
In the second half of 2009, there are signs that key markets the Company operates in are stabilizing. Due to low inventories at distributors and rising shipments, regional premiums are improving and global aluminum consumption is expected to increase 11 percent in the second half of 2009.
Segment Results
($in millions, except Quarter Quarter Year Year
per share amounts) 2009 2008 2009 2008
Net Sales by Segment
Corn seed and traits $387 $353 $4,113 $3,542
Soybean seed and traits 81 110 1,448 1,174
Cotton seed and traits 53 89 466 450
Vegetable seeds 236 223 808 744
All other crops seeds and
traits 151 166 462 459
--- --- --- ---
TOTAL Seeds and Genomics $908 $941 $7,297 $6,369
Roundup and other glyphosate-
based herbicides $778 $936 $3,527 $4,094
All other agricultural
productivity products 193 174 900 902
--- --- --- ---
TOTAL Agricultural
Productivity $971 $1,110 $4,427 $4,996
TOTAL Net Sales $1,879 $2,051 $11,724 $11,365
--------------- ------ ------ ------- -------
Gross Profit $857 $960 $6,762 $6,177
------------ ---- ---- ------ ------
Operating Expenses $1,109 $1,186 $3,659 $3,456
------------------ ------ ------ ------ ------
Interest Expense (Income), Net $34 $(14) $58 $(22)
Other Expense (Income), Net $16 $7 $78 $(183)
Net (Loss) Income $(233) $(172) $2,109 $2,024
----------------- ------ ---- ------ ------
Diluted (Loss) Earnings Per
Share (See note 1.) $(0.43) $(0.31) $3.80 $3.62
--------------------------- ------ ------ ----- -----
Items Affecting Comparability
- EPS Impact
Income on Discontinued
Operations -- $(0.01) $(0.02) $(0.04)
Acquired In-Process R&D -- $0.29 $0.19 $0.29
Solutia Claim Settlement -- -- -- $(0.23)
Sunflower Divestiture $(0.08) -- $(0.08) --
Restructuring(1) $0.53 -- $0.52 --
--------------- ---- ----
Diluted (Loss) Earnings per
Share from Ongoing Business
(For the definition of
ongoing EPS, see note 1.) $0.02 $(0.03) $4.41 $3.64
---------------------------- ---- ------ ----- -----
Effective Tax Rate
(Continuing Operations) 26% 21% 28% 31%
------------------------ --- --- --- ---
(1) FY09 Restructuring Charges consist of $361 million in SG&A and $45
million in cost of goods sold.
Fourth Fourth Fiscal Fiscal
Comparison as a Percent Quarter Quarter Year Year
of Net Sales: 2009 2008 2009 2008
Gross profit 46% 47% 58% 54%
Selling, general and
administrative expenses (SG&A) 25% 35% 17% 20%
Research and development expenses
(excluding acquired in-process
R&D) 15% 15% 9% 9%
(Loss) Income before income taxes
and minority interest (16)% (11)% 25% 26%
Net (Loss) Income (12)% (8)% 18% 18%
Comment from Monsanto Chairman, President and Chief Executive Officer Hugh Grant:
“Monsanto has now entered the next decade of global growth. Over the last 10 years, we emerged as the industry leader in the agricultural space based on a grower-oriented strategy of successfully introducing innovative solutions to increase yield for farmers across corn, soybean and cotton crops. The coming decade holds even greater promise as we commercialize the strongest pipeline of products ever seen on farm. Our success rests with four core beliefs: that our success is forever linked to the farmer’s success; that our commitments are only as good as our ability to deliver new value on farm; that growth has to be funded, but prudently; and that the value we create must be shared with our customers and our owners.”
Comment from Monsanto Chief Financial Officer Carl Casale:
“What has served us well through our first decade as a standalone company informs the second decade. We exist to serve the customer, and every financial choice we make should drive grower profitability. We must then execute to deliver consistent earnings growth as a commitment, not an aspiration. Growth comes with a price tag, but spending must be disciplined and the last dollar spent needs to bring as much value as the first.”
Operations Update
Monsanto reported net sales of $1.9 billion for the fourth quarter of fiscal year 2009, a slight decrease over the same period of fiscal year 2008 due in large part to a sales decrease for Monsanto’s Roundup® and other glyphosate-based herbicides as a result of pricing competition and a global glyphosate supply and demand imbalance. Positive drivers for the quarter included higher sales of corn seeds and traits as well as sales of vegetable seeds.
For the full year, company net sales and gross profit were up 3 percent and 9 percent respectively. Monsanto saw record net sales of $11.7 billion in the company’s fiscal year 2009, driven by higher worldwide corn seed and traits revenue, increased soybean seed and traits revenue in the United States, and higher cotton seed and traits revenue driven by higher trait penetration in India and increased acres in Australia. Increased revenue from the company’s vegetable seed portfolio also contributed to results in the year. Overall, seeds and traits profit made up more than 65 percent of total company gross profit, growing at a 17 percent rate over fiscal year 2008, and helped offset lower sales of Roundup and other glyphosate-based herbicides.
Monsanto reported a net loss of $233 million in the fourth quarter of fiscal year 2009, compared with a reported net loss of $172 million in the same period last year. For fiscal year 2009, Monsanto reported net income of $2.1 billion, which was a slight increase over last year’s net income of $2 billion.
Monsanto delivered on its commitment to grow ongoing earnings per share (EPS), reporting a year-over-year increase of 21 percent to $4.41 (5 percent or $3.80 on an as-reported basis), driven by strong seeds and traits performance, the optimization of gross profit for Roundup and other glyphosate-based herbicides at $1.8 billion, and extraordinary cost reduction actions.
For the fourth quarter, the company reported a loss per share of $(0.43) on an as-reported basis, and income of $0.02 on an ongoing basis. As-reported EPS results for the fourth quarter and fiscal year 2009 reflect the effects of restructuring and the divestiture of the company’s sunflower operations. Charges related to this restructuring are reflected in EBIT and include the costs of staff reductions, streamlining brands, office and facility consolidations and the realignment of resources of its global seeds and traits business. (For a reconciliation of ongoing EPS, see note 1.)
Cash Flow
For fiscal year 2009, net cash provided by operating activities was $2.2 billion, down $560 million from the prior year as a result of the net use of cash for changes in working capital. The primary drivers were lower accounts payable and other accrued liabilities and the timing of the high level of prepayments in Brazil in August 2008 instead of cash generated in the first quarter of fiscal year 2009.
Net cash required by investing activities was $726 million in fiscal year 2009, compared with net cash required of $2 billion for the same period last year. As a result, free cash flow was a source of $1.5 billion for fiscal year 2009, compared with a source of $772 million in fiscal year 2008. (For a reconciliation of free cash flow, see note 1.) Free cash flow in fiscal year 2009 included the investment of $411 million on acquisitions and investments and a reinvestment of an additional $916 million in capital expenditures. Net cash required by financing activities was more than $1 billion for fiscal year 2009, compared with net cash required of $102 million last year.
Outlook
Monsanto affirmed its full-year ongoing 2010 EPS guidance is in the range of $3.10 to $3.30. Monsanto’s full-year 2010 EPS guidance on an as-reported basis is in the range of $2.85 to $3.11. (For a reconciliation of 2010 EPS, see note 1.)
Seeds and traits, which is targeted to account for 85 percent of Monsanto’s business in 2012, is expected to cross the $5 billion gross profit mark for the first time in 2010 by creating new value for growers and increasing their profitability on farm.
The strength of the triple stack platform for corn, the launch of Genuity(TM) SmartStax(TM) in the United States and trait penetration in South America will be the key enablers for growth in 2010, when gross profit for corn is expected in the range of $3.1 billion to $3.2 billion. For soybeans, gross profit is expected to increase to approximately $950 million, driven in part by the full commercial launch of Genuity(TM) Roundup Ready 2 Yield® and greater penetration of first-generation Roundup Ready in Brazil.
Cotton, which experienced a better than expected gross profit result in 2009, is expected to increase to approximately $375 million gross profit in 2010 with the launch of new varieties and penetration of second-generation Bollgard® in India. Vegetable gross profit is expected to increase to about $525 million.
The company also confirmed guidance for free cash flow for fiscal year 2010 will be in the range of $900 million to $1 billion, including the after-tax cash effect from the restructuring of approximately $250 million. The company expects net cash provided by operating activities to be $2 billion to $2.2 billion, and net cash required by investing activities to be approximately $1.1 billion to $1.2 billion for fiscal year 2010. (For a reconciliation of free cash flow, see note 1.)
ISSAQUAH, Wash. (AP) — Costco Wholesale Corp. said Wednesday that its fiscal fourth-quarter profit fell 6 percent, partly on the stronger dollar and increased employee benefit costs, but results beat analysts’ estimates.
The warehouse club operator earned $374 million, or 85 cents per share, for the quarter ended Aug. 30. That’s down from $398 million, or 90 cents per share, a year earlier.
Still, the performance was enough to top the 77 cents-per-share forecast of analysts polled by Thomson Reuters. Analysts’ estimates generally exclude one-time items.
Revenue slipped 3 percent to $22.38 billion from $23.1 billion, but surpassed Wall Street’s $22.34 billion sales estimate.
Sales at stores open at least a year dropped 5 percent in the quarter, with a 6 percent decline in the U.S. and a 3 percent dropoff internationally. Removing the effect of the stronger dollar and lower gas prices, sales at stores open at least a year edged up 1 percent.
These figures are considered a key indicator of a retailer’s performance because they measure growth at existing stores, rather than newly opened ones.
Issaquah-based Costco has managed to pull in budget-conscious shoppers during the recession with deals on food and everyday items but has been hurt by a pullback in spending on big-ticket items like jewelry and furniture.
For the year, net income slipped 15 percent to $1.09 billion, or $2.47 per share, compared with $1.28 billion, or $2.89 per share.
Annual sales dipped 2 percent to $71.42 billion from $72.48 billion.
Costco currently runs 560 warehouses, including 407 in the U.S. and Puerto Rico, 77 in Canada, 32 in Mexico, 21 in the U.K., seven in Korea, six in Taiwan, nine in Japan, and one in Australia.
Q4 shr 43 cts vs Wall St view 41 cts
* Sales rise 2.6 pct
* Shares up 1.5 percent
NEW YORK, Oct 7 (Reuters) – Family Dollar Stores Inc (FDO.N) reported a 13 percent rise in quarterly profit on Wednesday, topping Wall Street estimates, as frugal shoppers scoured its stores for low prices.
Family Dollar, which sells most of its merchandise for under $10, said it had earned $60.1 million, or 43 cents per share, in the fourth quarter ended on Aug. 29, compared with $53.2 million, or 38 cents per share, a year earlier.
Analysts on average were expecting earnings of 41 cents per share, according to Thomson Reuters I/B/E/S, while Family Dollar had forecast 39 cents to 43 cents.
Last month, Family Dollar said quarterly net sales rose 2.6 percent to about $1.81 billion, while sales at stores open at least a year rose 1 percent. That same-store sales growth was below its forecast for a rise of 2 percent to 4 percent, and it blamed the shortfall on store reorganizations.
Family Dollar has been rearranging the space in its stores to stock more food and other consumable items as shoppers stick to buying necessities.
Shares of Family Dollar were up 1.5 percent at $28.90 in light premarket trading. (Reporting by Dhanya Skariachan; Editing by Lisa Von Ahn)
ROCKFORD, Mich. (AP) — The shoe maker Wolverine World Wide Inc. said Wednesday that its profit fell 14 percent in the third quarter, hurt by lower sales, restructuring charges and the stronger dollar.
But its adjusted earnings easily topped Wall Street’s expectations, and the maker of Hush Puppies and Wolverine shoes raised its earnings outlook for the year.
Net income slid to $26.8 million, or 54 cents per share, for the three months ended Sept. 12 compared with $31.2 million, or 62 cents per share, a year ago.
Excluding 8 cents per share in restructuring charges and 5 cents per share for the stronger dollar, profit was 67 cents per share.
Analysts predicted earnings of 56 cents per share, according to a Thomson Reuters survey. Analysts’ estimates typically exclude one-time items.
Sales declined 10 percent to $286.8 million from $318.9 million on difficult trading conditions in most major markets and the stronger dollar.
The results missed Wall Street’s estimate of $292.3 million.
Wolverine, whose brands also include Merrell and Sebago, cut operating expenses to $77.8 million from $82.4 million during the quarter and also decreased inventory by 5.2 percent. The company expects to continue to lower its inventory through the end of the year.
The company increased its full-year adjusted profit forecast to $1.65 to $1.75 per share from a previous guidance of $1.55 to $1.73 per share. It also narrowed its annual sales outlook to a range of $1.08 billion to $1.11 billion. The company’s prior forecast was for revenue in a range of $1.07 billion to $1.12 billion.
Analysts expect full-year net income of $1.70 per share on sales of $1.12 billion.
HSINCHU, Taiwan, Sept. 7 /PRNewswire-Asia-FirstCall/ — AU Optronics Corp. (“AUO” or the “Company”) (TAIEX: 2409; NYSE: AUO) today announced its preliminary consolidated and unconsolidated August 2009 revenue of NT$37,713 million and NT$36,911 million, both up 15.9% from July 2009. In terms of Y-o-Y comparison, they were up by 1.7% and down by 0.4% respectively.
Large-sized panel(a) shipments for August 2009, with applications on desktop monitors, notebook PCs, LCD TVs and other applications, broke the nine-million mark and set a new record of 9.07 million units, up 9.7% from previous month. As for small- and medium-sized panels, the shipments surpassed 19.69 million units, down by 8.5% from July 2009.
(a) Large-sized refers to panels that are 10 inches and above in diagonal measurement while small- and medium-sized refers to those below 10 inches
Sales Report :(Unit: NT$ million)
Net Sales(1)(2) Consolidated(3) Unconsolidated
August 2009 37,713 36,911
July 2009 32,551 31,843
M-o-M Growth 15.9% 15.9%
August 2008 37,097 37,072
Y-o-Y Growth 1.7% (0.4%)
Jan to Aug. 2009 203,492 200,669
Jan to Aug. 2008 329,856 328,143
Y-o-Y Growth (38.3%) (38.8%)
(1) All figures are prepared in accordance with generally accepted
accounting principles in Taiwan.
(2) Monthly figures are unaudited, prepared by AU Optronics Corp.
(3) Consolidated numbers include AU Optronics Corp., AU Optronics (L)
Corporation, AU Optronics (Suzhou) Corporation, AU Optronics (Shanghai)
Corporation, Tech - Well (Shanghai) Display Co., AU Optronics (Xiamen)
Corp., Darwin Precisions (L) Corp., Toppan CFI (Taiwan) Co, Ltd., AU
Optronics (Czech) s.r.o., Lextar Electronics Corp., Darwin Precision
Corp., BriView Technology Corp., BriView Electronics Corp. and AUO
Energy Taiwan Corp.
RT
MARYVILLE, Tenn.–(BUSINESS WIRE)–Ruby Tuesday, Inc. today reported diluted earnings per share of $0.11 on net income of $6.1 million for the Company’s first quarter of fiscal 2010, which ended on September 1, 2009. This compares to diluted earnings per share of $0.01 on net income of $285 thousand for the first quarter of the prior year.
Same-restaurant sales for the first quarter decreased 3.1% and 6.5% at Company-owned and domestic franchise Ruby Tuesday restaurants, respectively, compared to the same quarter of the prior year. Guest traffic at Company-owned same-restaurants was up in the quarter and built on the positive momentum of the fiscal 2009 fourth quarter.
Sandy Beall, Founder and CEO, commented on the results, saying, “Although the environment remains challenging, we are pleased that the momentum we established in the second half of fiscal 2009 through our marketing strategies and cost savings initiatives continued in the first quarter. Highlights from our first quarter results include:
- Same-restaurant guest counts increased for the second consecutive quarter;
- Same-restaurant sales and guest counts continued to outperform our peers as measured by Knapp-TrackTM;
- Same-restaurant sales were down 3.1%;
- Solid profitability improvement;
- We paid down $107.0 million of debt during the quarter, boosted by applying the net proceeds of approximately $73 million from our equity offering in July to debt retirement.
“Our top priorities for the remainder of the year remain unchanged. First, get guests in seats, thereby increasing restaurant traffic and ultimately sales. Our guests are responding to our strategic focus on Compelling Value as evidenced by our positive traffic. Second, we remain highly focused on maximizing our cash flow and reducing debt. Our third priority is to further strengthen and differentiate our brand through quality and remaining true to our core operating strategies: Uncompromising Freshness and Quality of our food; service with Gracious Hospitality; a Fresh New Look for our restaurants; and offering Compelling Value. We are confident in these strategies and believe that our team’s unwavering focus on them is contributing to our momentum.”
Highlights for the 13-week first quarter included:
- Total revenue decreased 7.2% from the same period of the prior year primarily because of 45 fewer restaurants in operation and the decrease in same-restaurant sales.
- The Company closed two restaurants and did not open any.
- Domestic and international franchisees closed three restaurants and did not open any.
- Sales at domestic and international franchise Ruby Tuesday restaurants (which is the basis for determining royalty fees included in franchise revenue on the Company’s statement of operations) totaled $94.8 million and $99.7 million for the first quarter of fiscal 2010 and 2009, respectively.
- Total capital expenditures were $3.8 million.
- Debt was reduced by $107.0 million.
- The Company sold 11.5 million common shares, raising a net of approximately $73 million which was used to pay down debt.
- The Company had approximately 64 million shares of common stock outstanding at the end of the quarter.
Fiscal Year 2010 Guidance….
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