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Earnings Analysis: 
CarMax Tops Estimate on Strong Sales
Author: Ivaylo Dagnev
123jump.com
Last Update: 9:41 AM EST December 21 2005



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CarMax Inc car seller, reported Q3 earnings of 25 cents a share, up from a profit of 17 cents a share in the year-ago period on 17% sales growth, topping analyst estimate of 21 cents a share.

 
CarMax’s, (KMX: chart), latest results include a gain of 3 cents a share related to the company''s Auto Finance operations. The company also said it will no longer provide a forecast of its financial outlook on a quarterly basis. Instead, it will only provide an estimate of same-store used unit sales and earnings per share for the full year.

FedEx Corp., (FDX: chart), package delivery company, reported Q2 earnings of $1.53 a share, up from a profit of $1.15 a share a year-ago on 10% revenue growth, beating analyst estimate of $1.40 a share. The company stated it saw a sharp improvement in its operating margins to 9.8% from 8.2% a year ago due to strong customer demand and a disciplined pricing approach.

ATI Technologies, (ATYT: chart), maker of graphics card, reported an 88% decline in quarterly profit. Adjusted earnings per share came to 10 cents a share, down from 28 cents a share a year ago despite revenue growth, beating analyst forecasts for earnings of 4 cents a share.

Palm Inc., (PALM: chart), maker of handheld devices, reported its fiscal Q2 net profit soared to $5.02 a share, up from 48 cents a share in the year-earlier period as it booked a tax-related gain and revenue climbed 18%. The results topped analysts'' estimates and the company issued an upbeat outlook for the current quarter. If not for the tax benefit and other items, earnings would have been 47 cents a share, down from 53 cents a share. Analysts expected the company to post a profit before items of 43 cents a share.

Nike Inc., (NKE: chart), athletic footwear and apparel company, reported that Q2 profit advanced 15% to $1.14 a share, up from 97 cents in the year-ago period. Earnings beat analysts'' estimate by 11 cents a share. Revenue rose 10% from the comparable period. Strong sales and higher margins at its Nike brand businesses in the U.S. and the Americas drove the better-than-expected earnings.

Jabil Circuit Inc., (JBL: chart), electronic systems company, reported a Q1 profit of 37 cents a share, up from 27 cents a share in the year-ago period on revenue growth. The company posted core earnings of 44 cents share, beating the analysts’ estimates for 42 cents a share.

Joy Global Inc., (JOYG: chart), a provider of mining equipment and services, posted a Q4 net income of 45 cents a share, up from 16 cents a share in the year-ago period, in line with the analysts’ expectations. Net sales for Q4 advanced 36%. Coal prices in the U.S. remain strong, particularly in the Powder River Basin.The non-U.S. coal business will increasingly be driven by the emerging markets of China, Russia and India.

Actuant Corp., (ATU: chart), diversified industrial company, posted Q1 net profit of 70 cents a share, up from 62 cents a share in the year-earlier period, topping analyst expectations of 66 cents a share. Sales climbed 42%, boosted by acquisitions. On a same-business basis, sales were flat after falling 5% the year earlier.
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