GM Reports Record Earnings, Gartner and Cummins Offer Positive Outlook

Mukesh Buch
06 Feb, 2018
New York City

AmerisourceBergen profit soared on tax benefit. Archer Daniels profit jumped on strong demand. Cummins offered positive outlook on 2018 profit and revenue. General Motors jumped on record earnings. Gartner profit and revenues soared.

[R]11:55 AM New York City, New York – AmerisourceBergen profit soared on tax benefit. Archer Daniels profit jumped on strong demand. Cummins offered positive outlook on 2018 profit and revenue. General Motors jumped on record earnings. Gartner profit and revenues soared.[/R]

Tollbooth Index slipped 51.22 or 0.4% to 13,666.22.

Earnings Review

AmerisourceBergen Corp ((ABC)) dropped 2.2% or $2.03 to $89.88 after the drug retailer reported revenues in the first-quarter ending in December jumped 6% from a year ago to $40.5 billion.

Net income in the quarter soared to $862 million or $3.90 per diluted share from $342 million or $1.11 in the same quarter last year.

The drug retailer lifted diluted earnings per share estimate in the range of $6.45 to $6.65 from the earlier estimate of $5.90 to $6.15.

Archer Daniels Midland Co ((ADM)) increased 1.1% or 46 cents to $41.06 after the agricultural food processor said revenues in the fourth-quarter ending in December dropped 2.6% from a year ago to $16.1 billion.

Net income in the quarter jumped 85.8% to $788 million or $1.39 per diluted share from $424 million or 73 cents in the same quarter last year.

Cummins Inc ((CMI)) declined 4.4% or $7.91 to $171.10 after the diesel and natural gas engines maker said revenues in the fourth-quarter ending in December surged 22% from a year ago to $5.5 billion.

Net in the quarter swung to a loss of $274 million or $1.65 per diluted share from profit of $378 million or $2.25 in the same quarter last year.

Cummins forecasted fiscal 2018 revenues growth in the range of 4% to 8% and operating profit in the range of 15.8% to 16.2%.

General Motors Company ((GM)) advanced 3.6% or $1.44 to $41 after the auto maker reported revenues in the fourth-quarter ending in December slumped 5.5% from a year ago to $37.7 billion.

Net loss in the quarter narrowed to $4.9 billion or $3.46 per diluted share from $6.8 billion or $4.73 in the same quarter last year.

GM plans to spend more than $8 billion in capital expenditures in this year.

Gartner Inc ((IT)) plunged 5.4% or $6.94 to $121.31 after the information technology information provider said total revenues in the fourth-quarter ending in December soared 44% from a year ago to $1 billion.

Net income in the quarter jumped 61% to $107.3 million or $1.16 per diluted share from $66.5 million or 79 cents in the same quarter last year.

Separately today, the information services provider said that it will sell its CEB Talent Assessment business to a UK-based private equity firm Exponent Private Equity for $400 million.