U.S. Movers: American Electric Power, AT&T, Bristol-Myers, Eli Lilly, Praxair

Mukesh Buch
24 Oct, 2012
New York City

American Electric Power net jumped 6% and suspended its earnings guidance. AT&T quarterly net edged up and smartphone sales reached 6.1 million. Bristol-Myers net swung to $711 million loss as U.S. sales dropped 43%. Boeing net declined 6%.

[R]10:45 AM New York – American Electric Power net jumped 6% and suspended its earnings guidance. AT&T quarterly net edged up and smartphone sales reached 6.1 million. Bristol-Myers net swung to $711 million loss as U.S. sales dropped 43%. Boeing net declined 6%.[/R]

American Electric Power Company, Inc. ((AEP)) slipped 1.1% or 51 cents to $44.14 after the utility holding company said sales in the third quarter ending in September edged down 0.4% to $4.2 billion from $4.3 billion in the same period of last year. Net income in the quarter jumped 6% to $487 million or $1 a diluted share compared to $928 million or $1.92 a share a year ago earlier.

The holding company had suspended its earnings guidance for 2012.

AT&T Inc. ((T)) dropped 1% or 38 cents to $34.62 after the telecommunication company reported sales in the third quarter ending in September flat of $31.46 billion from same period of last year. Net income in the quarter edged up 0.3% to $3.64 billion or 63 cents a diluted share compared to $3.62 billion or 61 cents a share a year ago.

The company said wireless data revenues climbed 18.3% and revenues of U-verse jumped 38.3% and strategic business services revenues increased 11.4%.

Smart phone sales in the quarter was 6.1 million and postpaid smart phone customer base rose 1.4 million to 44.5 million from second quarter 2012. The new iPhones activations in the quarter were 4.7 million and wireless operating income margin were 26.2%.

Bristol-Myers Squibb Company ((BMY)) slid 1.5% or 50 cents to $32.74 after the biopharmaceutical company said sales in the third quarter ending in September declined 30% to $3.74 billion from $5.35 billion in the same period of last year. Net loss in the quarter swung to $711 million or 43 cents a diluted share compared to net income of $969 million or 56 cents a share a year ago period.

U.S. net sales decreased 43% to $2 billion and international net sales decreased 6% to $1.8 billion.

The company expects full year adjusted earnings per share in the range of 95 cents to $1.05 and worldwide sales between $17.4 billion and $17.8 billion.

Eli Lilly and Company ((LLY)) dropped 2% or $1.06 to $50.84 after the pharmaceutical company reported sales in the third quarter ending in September slumped 11% to $5.44 billion from $6.15 billion in the same period of last year. Net income in the quarter jumped 7% to $1.33 billion or $1.18 a diluted share compared to $1.24 billion or $1.11 a share a year ago.

The company updated 2012 earnings per share guidance in the range of $3.68 to $3.78 and anticipates revenue for the full year between $21.8 billion and $22.8 billion and gross margin of revenue will be approximately 78%.

General Dynamics Corporation ((GD)) gained 2.3% or $1.54 to $67.75 after the aerospace company said revenues in the third quarter ending in September jumped 10% to $7.93 billion from $7.85 billion in the same period of last year. Net income in the quarter slipped 8% to $600 million or $1.70 a diluted share compared to $652 million or $1.80 a share a year ago earlier.

The company’s total backlog at the end of third quarter 2012 was $51.5 billion and estimated potential contract value was an additional $26.1 billion.

Kimberly-Clark Corporation ((KMB)) decreased 1.8% or $1.58 to $84.36 after the personal and household products maker reported sales in the third quarter ending in September slid 3% to $5.25 billion from $5.38 billion in the same period of last year. Net income in the quarter declined 20% to $517 million or $1.30 a diluted share compared to $432 million or $1.09 a share a year ago quarter.

The company lifted full year adjusted earnings per share are expected in the range of $5.15 to $5.25 from previous guidance of $5.05 to $5.20.

Lockheed Martin Corporation ((LMT)) advanced 3% or $2.80 to $94.75 after the security and aerospace company stated net sales in the third quarter ending in September down 2% to $11.9 billion from $12.1 billion in the same period of last year. Net income in the quarter slumped 4% to $727 million or $2.21 a diluted share compared to $700 million or $2.10 a share a year ago.

The company expects full year net sales in the range of $45.5 billion and $46.5 billion and earnings per share between $8.20 and $8.40.

Praxair, Inc. ((PX)) dropped 76 cents to $104.19 after the industrial gas supplier said revenues in the third quarter ending in September declined 4% to $2.77 billion from $2.90 billion in the same period of last year. Net income in the quarter was nearly flat at $430 million or $1.43 a diluted share compared to $429 million or $1.40 a share a year ago earlier.

For the fourth quarter, Praxair expects diluted earnings per share to be in the range of $1.35 to $1.40 and for the full year the company expects sales to be $11.2 billion.

The Boeing Company ((BA)) increased 1.6% or $1.22 to $74.03 after the aerospace company stated revenues in the third quarter ending in September climbed 13% to $20.01 billion from $17.73 billion in the same period of last year. Net income in the quarter dropped 6% to $1.03 billion or $1.35 a diluted share compared to $1.10 billion or $1.46 a share a year ago.

The aerospace company lifted 2012 financial guidance and expects revenues between $80.5 billion and $82 and earnings per share in the range of $4.80 to 4.95.