HD Supply, McCormick Climb; IHS, Ocwen Fall

Mukesh Buch
24 Mar, 2015
New York City

G-III Apparel net surged 139%. HD Supply net loss widened but revenues climbed 7%. IHS lowered its revised forecast. McCormick profit tumbled 15%. Ocwen Financial agreed to sell mortgage servicing rights portfolio to Nationstar Mortgage.

[R]12:30 PM New York – G-III Apparel net surged 139%. HD Supply net loss widened but revenues climbed 7%. IHS lowered its revised forecast. McCormick profit tumbled 15%. Ocwen Financial agreed to sell mortgage servicing rights portfolio to Nationstar Mortgage.[/R]

Tollbooth Index increased 0.6% or 62.84 to 10,644.18.

Earnings Review

G-III Apparel Group, Ltd ((GIII)) slipped 63 cents to $112.20 after the outerwear apparel and accessories maker said net sales in the fourth-quarter ending in January soared 9% to $514.3 million from a year ago period.

Net income in the quarter surged 139% to $22.2 million or 96 cents per diluted share compared to $13.1 million or 62 cents from the same quarter last year.

The apparel and accessories maker forecasted net sales for the first-quarter of about $406 million and net income between $1.1 million and $3.5 million and diluted earnings per share between 5 cents and 15 cents.

The company forecasted net sales for the year of about $2.37 billion and net income between $116 million and $122 million and diluted earnings per share in the range of $5.05 to $5.25.

HD Supply Holdings Inc ((HDS)) climbed 3.2% or 93 cents to $30.33 after the home contractor supply service provider reported net sales in the fourth-quarter ending on February climbed 6.9% to $2 billion from a year ago period.

Net loss in the quarter widened to $93 million or 48 cents per diluted share compared to $66 million or 34 cents from the same quarter last year.

IHS Inc ((IHS)) plunged 6.4% or $7.59 to $111.40 after the professional information service provider stated revenues in the first-quarter ending in February jumped 4.1% to $546.3 million from a year ago period.

Net income in the quarter soared 21.9% to $39.5 million or 57 cents per diluted share compared to $32.4 million or 47 cents from the same quarter last year.

The business information services provider revised its revenue forecast for the year in the range of $2.27 billion to $2.31 billion and earnings per share between $5.77 and $5.97.

McCormick & Company, Inc ((MKC)) soared 4.4% or $3.27 to $76.47 after the spice maker reported revenues in the first-quarter ending in February jumped 2% to $1.01 billion from a year ago period.

Net income in the quarter tumbled 14.5% to $70.5 million or 55 cents per diluted share compared to $82.5 million or 62 cents from the same quarter last year.

McCormick forecasted adjusted earnings per share in the range of $3.44 to $3.51 and sales to rise between 4% and 6%.

Ocwen Financial Corp ((OCN)) dropped 2.6% or 23 cents to $8.57 after the financial services provider agreed to sell mortgage servicing rights on an additional $25 billion of loans to a subsidiary of Nationstar Mortgage Holdings Inc.

Ocwen’s residential mortgage servicing rights portfolio consists of about 142,000 loans held by Freddie Mac and Fannie Mae with a total principal balance of about $25 billion.

The transaction is expected to close before mid-year.