(By Salman - iStockAnalyst Writer)
Late on Wednesday, the world's largest derivative exchange CME Group (NYSE: CME) announced that its third-quarter net income fell 16% to $169 million, or $2.81 a share, from $202 million, or $3.87 a share, in the same quarter a year earlier. Revenue increased 20% to $681 million from $565 million a year earlier. Analysts on an average were expecting earnings of $3.99 on revenue of $623.8 million. In after-hours trading, CME shares plunged $8.43 or 3.18%.
Insurance major Hartford Financial Services (NYSE:HIG) reported a third quarter net loss of $2.6 billion, or $8.74 a share compared to net income of $851 million, or $2.68 a share, in the same quarter in 2007. Excluding most realized investment gains and losses; Hartford said it lost $422 million, or $1.40 a share, in the latest period. The insurer was expected to lose 59 cents a share, according to the average estimate analysts. Hartford also lowered its guidance for the full year. It now expects to earn $4.30 and $4.50 a share down from an estimate of $9.20 to $9.50 a share. Chairman and Chief Executive Officer John Strangfeld said in a statement "Unfavorable financial market conditions are having a substantial negative effect on reported results of our domestic businesses and market values in our investment portfolio". The company on Wednesday withdrew its earnings guidance for 2008 of $7.50 to $7.80 per share. In after hours trade, shares of Hartford were down 36 cents or 1.81%. Earlier in regular trading Hartford gained 64 cents or 3.33% to close at $19.86.
Insurance giant MetLife Inc. (NYSE: MET) said on Wednesday that third-quarter net income declined 38% to $630 million, from $1.02 billion in the same period a year ago. According to average forecast of analyst, the company was expected to earn $1.02 a share. Income from continuing operations was $1.03 billion, or $1.42 per common share. Operating earnings, which exclude net realized investment gains and losses, were down 42% at $639 million, or 88 cents per common share, compared with $1,113 million, or $1.46 per diluted common share, for the prior period. The insurer said it would maintain an annual common stock dividend of 74 cents per share. Chairman, President and Chief executive officer of MetLife Inc. C.
