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Earnings Analysis: 
Monsanto Posts Wider Q1 Loss
Author: George Shopov
123jump.com


Monsanto announced that its first-quarter net loss widened from a year-ago, hurt by goodwill and restructuring charges. On operating basis, the agrochemical company topped analysts’ views.

 
Monsanto Company (MON: chart) reported before market open Wednesday that its quarterly loss widened, hurt by goodwill and restructuring charges. The agrochemical company posted a fiscal 2004 first-quarter net loss of $97 million, or 37 cents a diluted share, compared with a loss of $18 million, or 7 cents a diluted share, a year earlier. St. Louis, Missouri-based Monsanto said first-quarter results included a $69 million write-off of goodwill and net restructuring charges of $42 million. Excluding the charges, earnings came in at 4 cents a share, above the average analysts’ estimate for a penny-a-share profit. For the quarter ended November 30, the company said total sales jumped 22% to $1.03 billion, from $846 million last year, primarily due to higher sales of its Roundup herbicide.

For the second quarter, Monsanto said it expects earnings of 38 cents to 41 cents a share, which would be below analysts’ projections for earnings of 53 cents a share.

Monsanto shares rose 3.40% on Wednesday to $29.20.

NDCHealth Corporation (NDC: chart) of Atlanta, Georgia, posted Wednesday a second-quarter profit of $8.7 million, or 25 cents per share, down from $12.7 million, or 36 cents per share, in the same period a year earlier, on restructuring charges. Excluding charges, the provider of healthcare information technology earned 29 cents a share, topping the mean estimate of analysts by 2 cents a share.

The stock gained 10 cents to close Wednesday at $25.45. Company shares added 13 cents to $25.58 in after-market trade.

Immucor, Inc. (BLUD: chart) said before the bell Wednesday it had a net profit of $3.4 million, or 17 cents per share, in its fiscal second quarter. For the comparable period in fiscal 2003, the Norcross, Georgia-based manufacturer of reagents and automated blood-typing systems posted the same results. Analysts were looking for a profit of 16 cents a share, on average. The company said weak sales and higher marketing costs affected the results.

Immucor shares closed Wednesday up 93 cents, or 4.46%, at $21.80.

Shiloh Industries, Inc. (SHLO: chart) of Cleveland, Ohio, reported Wednesday a fourth-quarter net profit of $3.3 million, or 20 cents per share, on sales of $153.7 million, compared to a net loss of $18.9 million, or $1.28 per share, on sales of $173.3 million, a year ago. Last year’s results of the industrial company were weighed down by charges. Shiloh said the drop in sales was partly due to reduced automobile and light truck production.

Company shares plummeted 19.12% on Wednesday to close at $7.70.

Ruby Tuesday, Inc. (RI: chart), the Maryville, Tennessee-based casual dining chain, said Wednesday its quarterly earnings rose due to new menu items. The company said it earned $22 million, or 33 cents a share, in its second quarter, compared with earnings of $17.6 million, or 27 cents, in the corresponding period of 2003. Results were in line with analysts’ expectations.

The stock edged up 67 cents to $30.08 at market close Wednesday. Company shares slipped 0.70% to $29.87 in after-hours trading.

Schnitzer Steel Industries, Inc. (SCHN: chart) reported Wednesday a first-quarter profit of $12.2 million, or 59 cents a share, a 321% increase from $2.9 million, or 15 cents a share, a year ago, boosted by revenue growth. The Portland, Oregon-based metal processing company said first-quarter revenue rose 42% to $128.4 million from $90.7 million, last year.

Company shares plunged 12.49% to close Wednesday at $53.40. The stock recovered 6.65% to $56.95 in after-hours trading.

The Procter & Gamble Company (PG: chart) lifted Wednesday its quarterly profit guidance on the back of strong drug sales. The Cincinnati, Ohio-based global consumer-products maker said it now expects its second-quarter earnings to be 2 cents to 4 cents a share above the average analysts’ estimate of $1.26 a share.

The stock shed 88 cents on Wednesday to $98.10. Company shares gained $1.65 to $99.75 in after-market trade.

Boosted by strong sales, Pixelworks, Inc. (PXLW: chart) raised Wednesday its fourth-quarter profit outlook and now sees pro forma earnings of 9 cents per share, on revenue of about $40.5 million. The Tualatin, Oregon-based chip maker had previously forecast pro forma earnings of 6 to 7 cents per share, on revenue of between $37 million and $38.5 million.

Company shares surged 7.95% to close Wednesday at $12.90. The stock added 19 cents to $13.09 in after-hours trading.

The Bombay Company, Inc. (BBA: chart) of Fort Worth, Texas, said Wednesday it expects fourth-quarter profit to be in the range of 29 cents to 33 cents per share. The home décor retailer also forecast 2003 full-year earnings of 25 cents to 29 cents per share, which would be above the 22 cents per share, generated a year earlier.

The stock slid 3.45% on Wednesday to $7.83. Company shares lost a penny in after-market trade.

GameStop Corp. (GME: chart) revised upward its quarterly earnings view, helped by sales increase. The Grapevine, Texas-based video game retailer said Wednesday it now expects to report a fourth-quarter profit of 65 cents to 66 cents a share, compared with its prior forecast for earnings of 62 cents to 66 cents a share.
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