Curtiss-Wright Acquires Teletronics, Vera Bradley Lowers Outlook

Mukesh Buch
07 Dec, 2016
New York City

Brown-Forman revenues fell. Curtiss-Wright agreed to acquire Teletronics Technology Corp. for $233 million. Hooker Furniture net advanced 39%. John Wiley net swung to a loss. Korn/Ferry net soared 68%. Vera Bradley net plunged and the retailer lowered outlook.

[R]12:10 PM New York – Brown-Forman revenues fell. Curtiss-Wright agreed to acquire Teletronics Technology Corp. for $233 million. Hooker Furniture net advanced 39%. John Wiley net swung to a loss. Korn/Ferry net soared 68%. Vera Bradley net plunged and the retailer lowered outlook.[/R]

Tollbooth Index gained 38.15 or 0.3% to 11,095.76.

Earnings Review

Brown-Forman Corporation ((BF.A)) slumped 2.1% or 98 cents to $46.21 after the spirit and wine producer said revenues in the second-quarter ending in October fell 3% from a year ago to $830 million.

Net income in the quarter slid 1% to $197 million or 50 cents per diluted share compared to $200 million or 49 cents per share from the same quarter last year.

Curtiss-Wright Corp ((CW)) increased 1.5% or $1.58 to $105.55 after the aerospace products maker agreed to acquire Teletronics Technology Corp. for about $233 million in cash.

The transaction is expected to close in early 2017.

Separately, the engineering products maker said its board has authorized an additional $100 million for future share repurchases and increased total to $200 million.

Hooker Furniture Corporation ((HOFT)) surged 12.8% or $3.75 to $33.10 after the home furnishings group said net sales in the third-quarter ending in October jumped 122.5% from a year ago to $145.3 million.

Net income in the quarter advanced 39% to $6.4 million or 56 cents per diluted share compared to the $4.6 million or 43 cents per share from the same quarter last year.

John Wiley & Sons Inc ((JW.A)) rose 45 cents to $55.20 after the professional information services provider stated revenues in the second-quarter ending in October rose 2% from a year ago to $425.6 million.

Net in the quarter swung to a loss of $11.5 million or 20 cents per diluted share compared to the profit of $55 million or 96 cents per share from the same quarter last year.

Korn/Ferry International ((KFY)) gained 1.7% or 47 cents to $27.70 after the executive search services provider said total revenues in the second-quarter ending in October rose 42.4% from a year ago to $414.9 million.

Net income in the quarter soared 67.8% to $30.2 million or 52 cents per diluted share compared to the $17.9 million or 35 cents per share from the same quarter last year.

The recruitment services provider estimated revenue in the third-quarter in the range of $370 million and $390 million and earnings per share between 36 cents and 46 cents.

Vera Bradley, Inc ((VRA)) declined 8% or $1.18 to $13.49 after the women''s handbags, accessories, luggage and travel items designer stated revenues in the third-quarter ending on October 29 were flat from a year ago at $126.7 million.

Net income in the quarter plunged 14.6% to $8.8 million or 24 cents per diluted share compared to the $10.3 million or 27 cents per share from the same quarter last year.

Vera Bradley lowered revenues estimate in fourth-quarter to between $135 million and $140 million compared to the $154.1 million and gross profit between 55.9% and 56.2% from the 58.2% and diluted earnings per share in the range of 23 cents to 25 cents from 41 cents in the same period a year ago.

However, the fashion retailer had no debt outstanding at the end of the quarter and cash and cash equivalents and short-term investments totaled to $83 million.