U.S. Movers: Best Buy, Movado, Paychex, Red Hat, Shaw Group, Mosaic

Mukesh Buch
29 Mar, 2012
New York City

Best Buy Co. reported lower than expected quarterly loss and plans to close 50 U.S. stores. Movado fourth quarter net income swung to $10.7 million. Mosaic declined after Potash sales and third quarter net plunged. Red Hat fourth quarter net grew 7.5% to $36 mn and announced a stock buyback plan.

[R]11:25 AM New York – Best Buy Co. reported lower than expected quarterly loss and plans to close 50 U.S. stores. Movado fourth quarter net income swung to $10.7 million. Mosaic declined after Potash sales and third quarter net plunged. Red Hat fourth quarter net grew 7.5% to $36 million and announced a stock buyback plan.[/R]

Best Buy Co., Inc. ((BBY)) dropped 8.1% or $2.16 to $24.45 after the consumer products retailer reported fourth quarter total revenue rose 3% to $16.6 billion from $16.1 billion in the same quarter last year. Comparable store sales in the quarter decreased 2.4%. Net loss in the quarter swung to $1.7 billion or $4.89 per diluted share from net income of $651 million or $1.62 per share in the year ago earlier.

For the year 2011 net sales increased to $50.7 billion from $49.7 billion in last year. Comparable store sales for the year decreased 1.7%. Net loss for the year swung to $1.23 billion or $3.36 per diluted share compared to net income of $1.28 billion or $3.08 per share in the prior year.

H.B. Fuller Company ((FUL)) advanced 4.2% or $1.34 to $33.00 after the chemical formulator reported first quarter net revenue increased 10.5% to $375.3 million from $339.5 million in the same quarter last year. Net income in the quarter rose 4.1% to $15.3 million or 30 cents per diluted share compared to $14.3 million or 29 cents per share in the year ago period.

Movado Group, Inc. ((MOV)) soared 8.9% or $2 to $24.27 after the watches maker reported fourth quarter net sales soared 21.2% to $122.4 million from $101.0 billion in the same quarter last year. Net income in the quarter swung to $10.7 million or 42 cents per diluted share compared to net loss of $31.0 million or $1.25 per share in the year ago earlier.

For the year 2011 net sales increased 22.5% to $468.1 million from $382.2 million in last year. Net income for the year swung to $32 million or $1.27 per diluted share compared to net loss of $47.2 million or $1.91 per share in the prior year.

Paychex, Inc. ((PAYX)) decreased 1.1% or 37 cents to $31.61 after the human resource services provider reported third quarter total revenue grew 7% to $569.5 million from $531.3 million in the same quarter last year. Net earnings in the quarter rose 4% to $135.4 million or 37 cents per diluted share compared to $130.6 million or 36 cents per share in the year ago.

Red Hat, Inc. ((RHT)) surged 15.8% or $8.12 to $59.62 after the software company reported fourth quarter revenue increased 21% to $297.0 million from $244.8 million in the same quarter last year. Net income in the quarter grew 7.5% to $36.0 million or 18 cents per diluted share compared to $33.5 million or 17 cents per share in the year ago earlier.

Subscription revenue for the quarter increased 22% to $255.2 million from a year ago and for the year subscription revenue increased 25% $965.6 million from last year. Red Hat had also announced stock repurchase of up to $300 million starts from April 1.

For the year 2011 revenue soared 25% to $1.13 billion from $909.3 million in last year. Net income for the year surged 36.6% to $146.6 million or 75 cents per diluted share compared to $107.3 million or 55 cents per share in the prior year.

The Shaw Group Inc. ((SHAW)) gained 3.5% or $1.08 to $31.92 after the technology services provider reported second quarter revenues grew to $1.5 billion from $1.4 billion in the same quarter last year. Net income in the quarter surged to $52.5 million or 78 cents per diluted share compared to $1.2 million or 1 cent per share in the year ago quarter.

The Mosaic Company ((MOS)) decreased 3.9% or $2.30 to $55.92 after the phosphate and potash producer reported third quarter net sales was flat to $2.2 billion from same quarter last year. Net earnings in the quarter declined 98.4% to $273.3 million or 64 cents per diluted share compared to $542.1 million or $1.21 per share in the year ago.

Third quarter total sales for Potash declined to 1.1 million tons from 1.9 million tons a year ago.

UniFirst Corporation ((UNF)) fell 56 cents to $61.36 after the uniforms maker reported second quarter revenues increased 11.3% to $310 million from $278.6 million in the same quarter last year. Net income in the quarter increased to $19.2 million or 96 cents per diluted share compared to $16.3 million or 82 cents per share in the year ago period.

Verint Systems Inc. ((VRNT)) increased 2.1% or 65 cents to $31.29 after the value-added service provider reported fourth quarter total revenue grew to $212.0 million from $186.9 million in the same quarter last year. Net income in the quarter surged 41% to $13.4 million or 34 cents per diluted share compared to $9.5 million or 25 cents per share in the year ago earlier.

For the year 2011 net sales increased to $782.6 million from $726.8 million in last year. Net income for the year doubled to $22.2 million or 56 cents per diluted share compared to $11.4 million or 31 cents per share in the prior year.