The quarterly revenue jumped by as much as 65 percent to $21.16 billion. The economists had expected the firm to report earnings of 69 cents per share on revenue of $15.98 billion. "This record quarter again demonstrates the ability of our people to utilize our integrated global network and financial strength to capitalize on opportunities and further affirms our business model and strategy," Chairman of the Board and Chief Executive Officer Patricia Woertz said in a statement on Tuesday. The company reported income of $453 million after changing the way it accounts for inventory, compared to a LIFO charge of $ 83 million last year. Shares of the company had closed higher by 38 cents or 1.83 percent at $21.11 on Monday.
LoJack Corporation (NASDAQ GS: LOJN):
The company reported a net loss of $34.7 million or $2.05 per share, compared to net profit of $6.3 million or $0.33 per share in the same quarter a year earlier. Excluding special items, net income was $3.6 million or $0.21 per share, compared to $5.6 million or $0.29 per share reported in the same quarter last year. In the third quarter, revenue declined by 4 percent to $52.9 million from $55.1 million in the same quarter a year earlier. The market analysts on Wall Street had expected the firm to post earnings of $0.16 per share on revenue of $49.72 million for the quarter. "The decline in the domestic auto market deepened in each sequential quarter in 2008, with monthly new car sales in September falling below one million vehicles for the first time in 15 years," Richard T. Riley, Chairman and Chief Executive Officer said in a statement on Tuesday. "The continued deterioration in the domestic auto industry has been well documented, with industry experts now predicting annual vehicle sales of 13 to 13.5 million units, both in 2008 and 2009, compared to new car sales of approximately 16 million vehicles in 2007." Domestic auto sales dropped approximately 18% in the quarter, the company reported. The company also said its full-year 2008 revenue outlook will be in the range of $199 million to $202 million with earnings per share to be between $0.50 and $0.53. The market analysts expect the firm to post earnings of $0.46 per share on revenue of $199.0 million for the full-year in 2008. Shares of the company had closed down by $0.05 cents or 1.14 percent at $4.32 on Monday.
Health Net Inc (NYSE: HNT):
The insurer reported Tuesday that it was restructuring its top management after posting a weak profit for the third quarter led by high medical expenses. The company also cut down its full-year projection. The California-based company reported net income of $18.5 million, or 17 cents per share, compared with a net loss of $103.8 million, or 93 cents per share, a year ago, which included the full effect of $296.8 million pretax in litigation and regulatory charges. Excluding charges on special items, net income of the company for the quarter was $37.76 million or $0.35 per share, compared to $112.14 million or $0.99 per share in the year ago in the same period. Insurer Health Net's net revenue moved up to $3.82 billion from $3.63 billion in the third quarter of 2007. The market analysts expected the company to post earnings of $0.88 per share on revenue of $3.84 billion for the quarter. In the fourth quarter of this year, the company said it expects to report earnings, excluding charges, between $0.60 and $0.64 per share, lower than the market analysts' expectation of $0.99 per share for the fourth quarter. The company said it is reducing its full-year 2008 net income projection to a range of $0.96 to $1.02 per share, from the previous outlook of $1.97 to $2.03 per share. The market analysts expect the firm to post earnings in the full-year report of $2.78 per share. The board has directed Jay Gellert, president and chief executive officer, to focus his efforts on the company's strategy, while, James Woys, chief operating officer, will assume responsibility for all operational matters of the company. Stephen Lynch, currently president of the company's Health Plan Division, will retire on Feb. 28, 2009, and report to Woys during this transition. Shares of the company plunged by $2.88 or 21.62 percent to $10.44 at 9:33am ET in New York Stock Exchange composite trading on Tuesday.
