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Earnings Analysis: 
Del Monte Posts 47% Lower Profit
Author: 123jump.com Staff
123jump.com
Last Update: 1:06 PM EST November 30 2006



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Del Monte Foods second-quarter earnings decreased 47%, hurt by charges and rising cost pressures. Brown-Forman quarterly net profit increased 14%, helped by an asset sale and strong sales of premium brands such as Jack Daniel''s Tennessee Whiskey. H.J. Heinz second-quarter profit slipped 6%, reflecting a higher tax rate and the impact of discontinued operations. Descartes Systems Group posted a 17% increase in revenue over year-ago quarter.

 
Del Monte Foods Co. (DLM: chart), branded canned food maker, said that its second-quarter net income declined to $23.2 million, or 11 cents per share, from $43.9 million, or 22 cents per share, a year ago. Earnings from continuing operations reached to 12 cents per share, including costs and charges totaling 6 cents per share. Revenue climbed to $893.5 million from $793.2 million a year earlier.

Brown-Forman (BFB: chart), wine and spirits company, reported second-quarter net income of $124 million, or $1 per share compared with $108.8 million, or 88 cents per share, a year ago. Revenue was 10% to $735 million versus $665.8 million a year earlier, after volume growth for the Jack Daniel''s family of brands. The quarter included a 3 cent per share loss from discontinued operations, and an 8 cent per share gain from the sale of an Italian winery.

H.J. Heinz Co. (HNZ: chart), ketchup and a range of other foods maker, reported a second-quarter income of $191.6 million, or 57 cents per share, compared with $203.8 million, or 60 cents per share, a year ago. Earnings from continuing operations reached 59 cents per share. Revenue climbed to $2.23 billion from $2.16 billion in the same quarter a year ago.

Descartes Systems Group Inc. (DSGX: chart), software-as-a-service company, said that its third-quarter net income declined to $449,000, or 1 cent per share, compared with $629,000, or 2 cents per share, earned in the year-earlier period. Quarterly revenue climbed to $13.4 million from $11.5 million in third-quarter last year
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