New ETF Book by Larry Connors - Click here to read more
For the second quarter, the company's net income was $50.4 million, or $0.25 per share, higher than $25.9 million, or $0.13 per share, in the same quarter last year. For the first quarter, Del Monte reported a net loss of $10.1 million, or $0.05 per share.
Income from continuing operations was $27.3 million, or $0.14 per share, up from $25.7 million, or $0.13 per share, in the previous year. Results for the second quarter of fiscal 2008 included $0.01 of transformation-related expense.
Analysts polled by First Call/Thomson Financial expected the company to report earnings of $0.12 per share for the quarter. Analysts' estimates typically exclude special items.
The company said that it has completed the sale of its seafood business, including StarKist, to Dongwon Industries Co., Ltd. and its subsidiaries in the second quarter for approximately $359 million, resulting in a gain from discontinued operations of $23.1 million, or $0.11 per share.
Quarterly net sales were $901 million, up 11.5% from $808.2 million a year ago. Six analysts had a consensus revenue estimate of $904.97 million for the quarter. The company said that the sales growth reflected pricing actions and new product volume in both Consumer Products and Pet Products. Existing product volume declined, primarily due to the volume elasticity impact from pricing actions, the company noted. For the sequentially preceding quarter, the company posted net sales of $726.2 million.
For the second quarter, Consumer Products net sales rose 6.1% to $491.9 million, driven by pricing actions across the product portfolio and new product volume primarily in fruit and vegetables.
Pet Products generated net sales of $409.1 million in the quarter, up 18.7% from the prior-year quarter. The company attributed the sales growth to pricing actions, new product volume, and existing product volume growth.
For the six-month period, Del Monte earned $40.3 million, or $0.20 per share, in comparison with $29.4 million, or $0.14 per share, last year. Income from continuing operations was $19.3 million, or $0.10 per share, down from $27.4 million, or $0.13 per share, in the previous year. Results for the first half of fiscal 2008 included $0.02 of transformation-related expense, the company noted. First-half net sales rose 13.4% to $1.63 billion from $1.44 billion in the same period of fiscal 2008.
Going forward, Del Monte said it continues to expect fiscal 2009 earnings per share from continuing operations in the range of $0.58 - $0.62. However, the company projects earnings toward the midpoint of the range rather than the lower end. For fiscal 2008, the company's earnings per share from continuing operations were $0.60, which included $0.08 of transformation-related expense.
The company also lifted its net sales growth target for fiscal 2009 to 8% to 10% over fiscal 2008 net sales of $3.18 billion. This compares to the company's previous net sales growth target of 6% to 8%.
Analysts expect the company to report full-year 2009 earnings of $0.57 per share on revenues of $3.52 billion.
Among others in the sector, ConAgra Foods, Inc. (CAG | Quote | Chart | News | PowerRating) is scheduled to announce its second-quarter results on December 17. Analysts project earnings of $0.38 per share on sales of $3.16 billion.
Wall Street analysts also forecast earnings of $1.23 per share for the second quarter of another rival General Mills Inc. (GIS | Quote | Chart | News | PowerRating) on sales of $4 billion.
DLM is trading at $6.53, up $1.00, on a volume of 1.19 million shares.
For comments and feedback: contact editorial@rttnews.com Copyright(c) 2008 RealTimeTraders.com, Inc. All Rights Reserved
More News:
Market Updates |
Stock Alerts |
All Trading News |
Stock Index
About TradingMarkets | Contact | Advertise | Careers | Link to Us | Site Map | Help | Terms & Conditions | Privacy Policy | Return Policy | Testimonials | Feedback
The Connors Group, Inc. ("Company") is not an investment advisory service, nor a registered investment advisor or broker-dealer and does not purport to tell or suggest which securities or currencies customers should buy or sell for themselves. The analysts and employees or affiliates of Company may hold positions in the stocks, currencies or industries discussed here. You understand and acknowledge that there is a very high degree of risk involved in trading securities and/or currencies. The Company, the authors, the publisher, and all affiliates of Company assume no responsibility or liability for your trading and investment results. Factual statements on the Company's website, or in its publications, are made as of the date stated and are subject to change without notice.
It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable or that they will not result in losses. Past results of any individual trader or trading system published by Company are not indicative of future returns by that trader or system, and are not indicative of future returns which be realized by you. In addition, the indicators, strategies, columns, articles and all other features of Company's products (collectively, the "Information") are provided for informational and educational purposes only and should not be construed as investment advice. Examples presented on Company's website are for educational purposes only. Such set-ups are not solicitations of any order to buy or sell. Accordingly, you should not rely solely on the Information in making any investment. Rather, you should use the Information only as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments. You should always check with your licensed financial advisor and tax advisor to determine the suitability of any investment.
HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING AND MAY NOT BE IMPACTED BY BROKERAGE AND OTHER SLIPPAGE FEES. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER- OR OVER-COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS, SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.
The Connors Group, Inc.
15260 Ventura Blvd., Ste. 2200
Sherman Oaks, CA 91403
© Copyright 2009 The Connors Group, Inc.
