U.S. Movers: Family Dollar, M, Ross Stores, SunPower, UniFirst, Worthington

Mukesh Buch
03 Jan, 2013
New York City

Family Dollar first quarter net edged up and lifted second quarter outlook. Macy

[R]10:30 AM New York – Family Dollar first quarter net edged up and lifted scond quarter outlook. Macy’s December same store sales grew 4.1%. SunPower divested solar projects to MidAmerican Solar. Worthington second quarter net climbed. UniFirst first quarter net soared 19%.[/R]

Family Dollar Stores, Inc. ((FDO)) plunged 12.8% or $8.20 to $55.84 after the discount store said net sales in the first quarter ending on November 24 climbed 12% to $2.42 billion from $2.15 billion in the same period of last year. Comparable store sales for the quarter increased 6.6%.

Net income in the quarter edged down to $80.28 million or 69 cents a diluted share compared to $80.35 million or 62 cents a share a year ago earlier.

The discount retailer said gross profit in the quarter increased 9.1% to $826.8 million, or 34.1% of net sales and selling, general and administrative expenses of net sales, were 28.9% from 29.2% and effective income tax rate in the quarter was 36.4% as compared to 37.4% in the last year.

The company expects comparable store sales in the second quarter to increase between 4% and 5% and earnings per diluted share in the range of $1.18 to $1.28.

The company lifted expected diluted earnings per share in fiscal 2013 between $3.95 and $4.20 from $3.58 in fiscal 2012 and comparable store sales to increase between 4% and 6%.

Lincoln Electric Holdings, Inc. ((LECO)) gained 14 cents to $50.05 after the robotic welding products maker purchased the privately held automated systems and tooling manufacturer Tennessee Rand, Inc. Terms were not disclosed.

Tennessee, has annual sales of approximately $35 million.

Hormel Foods Corporation ((HRL)) climbed 5.1% or $1.64 to $33.66 after the food products producer agreed to acquire the Skippy® peanut butter business from Unilever United States Inc. The purchase price is nearly $700 million and expects acquisition to be accretive in fiscal 2013.

Landec Corporation ((LNDC)) jumped 8.9% or 88 cents to $10.69 after the polymer products maker stated total revenues in the second quarter ending on November 25 climbed 41% to $114.7 million from $81.6 million in the same period of last year. Net income in the quarter surged nearly three-fold to $8.91 million or 34 cents a diluted share compared to $3.34 million or 13 cents a share a year ago period.

The Landec expects revenues in fiscal 2013 to increase 33% to 38% and net income to grow 60% to 70%.

Limited Brands, Inc. ((LTD)) declined 6% or $2.81 to $44.59 after the specialty retailer reported comparable store sales increased 3% and net sales increased to $1.95 billion.

Macy’s, Inc. ((M)) gained 28 cents to $38.59 after the discount retailer reported total sales of five weeks ended on December 29 increased 3.6% to $5.10 billion and same store sales increased 4.1%.

For the year to date, Macy’s, Inc. sales totaled $25.887 billion

Mednax Inc. ((MD)) increased 64 cents to $84.73 after the physician service provider acquired Anesthesiologists Associated, P.C., a private physician group in Tennessee and Pediatric Surgical and Associates, a surgical physicians surrounding North Texas. The both acquisitions closed as of December 31.

Ross Stores, Inc. ((ROST)) soared 7.2% or $3.92 to $58.36 after the off-price retailer reported sales in December climbed 11% to $1.28 billion and comparable store sales for the month jumps 6%.

The retailer lifted fourth quarter earnings per share guidance to $1.05 to $1.06, from previous guidance of $.99 to $1.04.

SunPower Corporation ((SPWR)) surged 24.8% or $1.52 to $7.66 after the photovoltaic power developer divested its 579 megawatt solar projects to MidAmerican Solar, two co-located projects in Kern and Los Angeles in California. Together, the two combined projects will form the largest permitted solar photovoltaic power development in the world.

UniFirst Corporation ((UNF)) climbed 10.8% or $8.22 to $84.26 after the uniforms provider reported total revenues in the first quarter ending on November 25 advanced 6% to $332.6 million from $313 million in the same period of last year. Net income in the quarter soared 19% to $30.8 million or $1.54 cents a diluted share compared to $25.8 million or $1.30 a share a year ago.

The company expects fiscal 2013 revenues in the range of $1.34 billion to $1.35 billion and diluted earnings per share between $5.10 and $5.25.

Worthington Industries, Inc. ((WOR)) gained 1% or 27 cents to $27.12 after the metals processing company said net sales in the second quarter ending on November 25 jumped 10% to $622.6 million from $565.7 million in the same period of last year. Net earnings in the quarter climbed more than two-fold to $31.8 million or 45 cents a diluted share compared to $12 million or 17 cents a share a year ago period.

The company added gross margin for the quarter jumped 68% to $94.9 million from $56.6 million in the prior year quarter.