Kellogg to Buys Brazil-based Parati; CSX, Delta Air, Progressive Net Drop

Mukesh Buch
13 Oct, 2016
New York City

CSX net and revenues plunged. Delta Air Lines net income fell on 6% revenues decline. Kellogg agreed to buy the Brazil-based Parati for $429 million. Lindsay net swung to profit after revenues jumped. Marriott Vacations net surged. Progressive net tumbled 29% but sales surged.

[R]12:10 PM New York – CSX net and revenues plunged. Delta Air Lines net income fell on 6% revenues decline. Kellogg agreed to buy the Brazil-based Parati for $429 million. Lindsay net swung to profit after revenues jumped. Marriott Vacations net surged. Progressive net tumbled 29% but sales surged.[/R]

Tollbooth Index slipped 45.92 or 0.4% to 10,859.27.

Earnings Review

CSX Corporation ((CSX)) gained 1.6% or 49 cents to $30.69 and the rail transportation services provider said revenues in the third-quarter ending in September declined 8% from a year ago to $2.71 billion.

Net income in the quarter plunged 10.3% to $455 million or 48 cents per diluted share compared to the $507 million or 52 cents per share from the same quarter last year.

Delta Air Lines, Inc ((DAL)) jumped 2.2$% or 88 cents to $40.16 after the airline company said total revenues in the third-quarter ending in September slumped 5.6% from a year ago to $10.5 billion.

Net income in the quarter dropped 4% to $1.26 billion or $1.69 per diluted share compared to the $1.32 billion or $1.65 per share from the same quarter last year.

Kellogg Company ((K)) fell 67 cents to $75.79 after the ready-to-eat cereal maker agreed to acquire the Brazil-based privately held food processing company Parati Group forabout $429 million.

The transaction is expected to close by the end of this year.

Lindsay Corporation ((LNN)) surged 13.3% or $9.25 to $78.55 after the water and road infrastructure services provider said revenues in the fourth-quarter ending in August advanced 8% from a year ago to $132.9 million.

Net in the quarter swung to income of $7.8 million or 73 cents per diluted share compared to the loss of $3.2 million or 28 cents per share from the same quarter last year.

Marriott Vacations Worldwide Corp ((VAC)) plunged 9.4% or $6.44 to $62.39 after the hotel operator reported total revenues in the third-quarter ending on September 9 were flat from a year ago at $407 million.

Net income in the quarter surged 24.1% to $26.8 million or 97 cents per diluted share compared to the $21.6 million or 67 cents per share from the same quarter last year.

Progressive Corp ((PGR)) advanced 2.1% or 65 cents to $32.31 after the insurance services provider stated net premiums written in the third-quarter ending in September surged 12% from a year ago to $6.05 billion.

Net income in the quarter tumbled 29% to $198 million or 34 cents per diluted share compared to the $278.3 million or 47 cents per share from the same quarter last year.

Winnebago Industries, Inc ((WGO)) rose 4 cents to $27.96 after the recreation vehicles maker said revenues in the fourth-quarter ending in August jumped 4.9% from a year ago to $263.3 million.

Net income in the quarter soared 12.2% to $13.1 million or 49 cents per diluted share compared to the $11.7 million or 43 cents per share from the same quarter last year.