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Earnings Analysis: 
SUPERVALU Posts Record Third-Quarter Results
Author: Ivaylo Dagnev
123jump.com
Last Update: 9:23 AM EST January 10 2006



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SUPERVALU INC, grocery company, reported record Q3 results. Net sales amounted to $4.7 billion up from $4.6 billion last year, earnings per share were 53 cents compared to 46 cents in the year-ago period.

 
SUPERVALU’s , (SVU: chart), Q3 results include net after tax charges of approximately 4 cents per share related to growth initiatives and costs related to terminated acquisition activities. Last year''s Q3 results include net after tax restructure and other charges of 9 cents per share primarily related to increased liabilities associated with employee benefit related costs from previously exited distribution facilities, as well as changes in estimates on exited real estate. Q3 retail net sales were $2.5 billion, a 1.9 % increase in comparison with last year''s Q3. Comparable store sales growth for the quarter was negative 0.9 %, with positive comparable store sales at company-operated Save-A-Lot stores. Reported retail operating earnings for Q3 were a record $104.5 million compared to $101.3 million in last year''s Q3.

Tiffany & Co, (TIF: chart), jeweler, reported that its same-store sales for the holiday period rose 6% in the U.S. and 7% in Japan. Net sales for the same period advanced 6%. On a constant currency basis, net sales increased 9% and worldwide same-store sales increased 6%. The company expects its earnings for 2005 to be in the range of $1.60 to $1.62 a share, slightly missing Analysts’ estimate of $1.64 a share for the year.

Alcoa Inc., (AA: chart), aluminum producer, reported a 16 % decline in its Q4 profit, or 26 cents per share, down from 30 cents per share in the year-ago period, missing analysts’ projections of 37 cents per share as the company was racked by setbacks from hurricane-related refinery slowdowns to restructuring costs. Earnings from continuing operations were 24 cents per share.

Icon, (ICLR: chart), Ireland-based clinical research company, reported that Q2 profit advanced 20.5% to 49 cents a share on an 11% increase in net revenue. The company announced that it raised its Q2 operating profit margin to 10.2% from 8.8% in the comparable period last year.

AmerisourceBergen Corp., (ABC: chart), pharmaceutical services company expects Q1 earnings of 37 cents to 43 cents per share, in line with the analyst estimate of 40 cents per share. The company increased its expectations for fiscal-year revenue growth, but backed its prior profit outlook for Q1 and full year. The company expects Q1 revenue growth of 10% to 11 %, due to greater sales to its larger customers.

Guidant Corp., (GDT: chart), medical device manufacturer, announced that its Q4 sales would fall by 15% in comparison with the year-ago period. Quarterly defibrillator sales in the U.S. and worldwide would decline 23% and 19%, though the sales level remained above Guidant''s previous outlook.
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