Caterpillar, Eli Lilly Lift Fiscal Outlook, Verizon Report Solid Income Growth

Mukesh Buch
24 Apr, 2018
New York City

Biogen net soared 57% on 11% jump in revenues. Caterpillar profit jumped on strong demand. Coca-Cola profit jumped on lower cost but sales declined 16%. Eli Lilly lifted fiscal outlook on higher sales of diabetes and cancer drugs.

[R]12:35 PM New York City, New York – Biogen net soared 57% on 11% jump in revenues. Caterpillar profit jumped on strong demand. Coca-Cola profit jumped on lower cost but sales declined 16%. Eli Lilly lifted fiscal outlook on higher sales of diabetes and cancer drugs.[/R]

Tollbooth Index decreased 30.44 or 0.2% to 14,544.05 and for the year-to-date jumped 5.6%.

Earnings Review

Biogen Inc ((BIIB)) slumped 2.1% or $5.50 to $253.81 after the cancer drug maker reported total revenues in the first-quarter ending in March soared 11% from a year ago to $3.1 billion.

Net income in the quarter soared 57% to $1.2 billion or $5.54 per diluted share from $748 million or $3.46 in the same quarter last year.

In the quarter, Biogen completed the spin-off of its global hemophilia business. The drug maker said strong revenue growth was driven by higher sales of its spinal muscular atrophy drug, Spinraza.

Caterpillar Inc ((CAT)) jumped 3.1% or $4.72 to $158.71 after the construction and mining equipment maker said sales and revenues in the first-quarter ending in March surged 31% to $12.9 billion.

Net income in the quarter jumped to $1.7 billion or $2.74 per diluted share from $192 million or 32 cents in the same quarter last year.

Caterpillar increase 2018 profit forecast by $2 per share to a range of $9.75 to $10.75 per share from the earlier estimate of $7.75 to $8.75 on higher demand for its products and services.

The Coca-Cola Company ((KO)) slipped 1.8% or 81 cents to $43.17 after the nonalcoholic beverage maker reported net revenues in the first-quarter ending in March declined 16% to $7.6 billion.

In the quarter, the revenues declined as the company continues to refranchise and divest its bottling operation which led to 26% plunge after it refranchised bottling territories. But, the company touted its non-GAAP earnings per share from continuing operations.

Net income in the quarter surged 16% to $1.4 billion or 32 cents per diluted share from $1.2 billion or 27 cents in the same quarter last year.

Coca Cola has been struggling with the decline of carbonated beverages as consumers avoid high sugar content beverages. The consumption of carbonated beverages has been declining for more than a decade and it is not hovering near a 3-decade low.

The relaunch of Diet Coke led to higher volume in North America and Coca-Cola Zero Sugar brand sales increased in double-digit, according to the company’s earnings release.

Eli Lilly and Company ((LLY)) fell 20 cents to $79.99 after the healthcare products maker said revenues in the first-quarter ending in March jumped 9% to $5.7 billion.

Net in the quarter swung to profit $1.2 billion or $1.16 per diluted share from a loss of $110.8 million or 10 cents in the same quarter last year.

Eli Lilly lifted fiscal revenues forecast between $23.7 billion and $24.2 billion from the earlier estimate of $23 billion and $23.5 billion and diluted earnings per share in the range of $4.52 to $4.62 from the earlier estimate of $4.39 to $4.49.

Harley-Davidson, Inc ((HOG)) advanced 3.6% or $1.47 to $42.48 after the motorcycles maker said revenues in the first-quarter ending in March rose 2% from a year ago to $1.5 billion.

Net income in the quarter plunged 6.2% to $174.8 million or $1.03 per diluted share from $186.4 million or $1.05 in the same quarter last year.

The motorcycles manufacturer forecasted fiscal 2018 motorcycle shipments in the range of 231,000 to 236,000 units and in the second-quarter in the range of 67,500 to 72,500 units.

Lockheed Martin Inc ((LMT)) declined 4.5% or $16.19 to $342.41 after the defense contractor reported revenues in the first-quarter ending in March advanced 3.6% from a year ago to $11.6 billion.

Net income in the quarter soared 52.1% to $1.2 billion or $4.02 per diluted share from $789 million or $2.69 in the same quarter last year.

Verizon Communications Inc ((VZ)) jumped 2.3% or $1.13 to $49.79 after the communications services provider said total revenues in the first-quarter ending in March surged 6.6% from a year ago to $31.8 billion.

Net income in the quarter jumped 31.3% to $4.7 billion or $1.11 per diluted share from $3.6 billion or 84 cents in the same quarter last year.