Visa Reports Record Net Income; Microsoft Net Lifted by Cloud Surge

Mukesh Buch
25 Oct, 2018
New York City

ConocoPhillips beats estimates and lifted fiscal outlook. Comcast net jumped on strong internet subscriber growth. Ford profit tumbled on weak revenues. Microsoft surged on strong cloud revenues growth. Visa reported record profit.

[R]1:25 PM New York City, New York – ConocoPhillips beats estimates and lifted fiscal outlook. Comcast net jumped on strong internet subscriber growth. Ford profit tumbled on weak revenues. Microsoft surged on strong cloud revenues growth. Visa reported record profit.[/R]

Tollbooth Index edged up 4.61 to 15,452.15 but for the year-to-date soared 12.3%.

Earnings Review

American Electric Power Company Inc ((AEP)) dropped 2.3% or $1.77 to $73.79 after the electric utility provider said revenues in the third-quarter ending in September increased 4.9% from a year ago to $4.3 billion.

Net income in the quarter jumped 6% to $577.6 million or $1.17 per diluted share from $544.7 million or $1.11 in the same quarter last year.

The utility provider narrowed fiscal 2018 diluted earnings per share in the range of $3.88 to $3.98 from the earlier estimate of $3.75 to $3.95.

Bristol-Myers Squibb Co ((BMY)) slid 25 cents to $48.58 after the drugs maker reported revenues in the third-quarter ending in September soared 8% from a year ago to $5.7 billion.

Net income in the quarter more than doubled to $1.9 billion or $1.16 per diluted share from $845 million or 51 cents in the same quarter last year.

Bristol-Myers lifted fiscal 2018 diluted earnings per share estimate to between $3.05 and $3.15 from the earlier estimate of $2.68 to $2.78 and revenues increasing in the high-single digits.

ConocoPhillips ((COP)) advanced 2.9% or $1.93 to $67.62 after the oil and gas producer said revenues in the third-quarter ending in September surged 41.7% from a year ago to $10.2 billion.

Net income in the quarter surged to $1.9 billion or $1.59 per diluted share from $0.4 million or 34 cents in the same quarter last year.

In the quarter, the company earned $345 million related to settlement agreement with Venezuela-based PDVSA.

The oil and gas producer lifted fiscal 2018 capital expenditure forecast of about $6.1 billion from the earlier estimate of $6 billion.

Comcast Corp ((CMCSA)) jumped 3.6% or $1.24 to $35.36 after the telecom conglomerate reported revenues in the third-quarter ending in September soared 5% from a year ago to $22.1 billion.

Net income in the quarter jumped 9.3% to $2.9 billion or 62 cents per diluted share from $2.6 billion or 55 cents in the same quarter last year.

In the quarter, Comcast added 363,000 net high-speed internet customers but video subscriber numbers continue to decline and fell 106,000 from a year ago period but jumped from 140,000 from the previous quarter.

Ford Motor Company ((F)) soared 8.1% or 66 cents to $8.84 after the automaker stated revenues in the third-quarter ending in September rose 3% from a year ago to $37.7 billion.

Net income in the quarter tumbled 37.5% to $1 billion or 25 cents per diluted share from $1.6 billion or 39 cents in the same quarter last year.

The automaker said profit was hurt by weaker sales and higher costs in China.

Ford forecasted fiscal 2018 diluted earnings per share between $1.30 and $1.50.

Microsoft Corp ((MSFT)) jumped 4.9% or $5.03 to $107.35 after the information technology provider reported revenues in the first-quarter ending in September soared 19% from a year ago to $29.1 billion.

Net income in the quarter surged 34% to $8.8 billion or $1.14 per diluted share from $6.6 billion or 84 cents in the same quarter last year.

Revenues in cloud services jumped 17% and Office consumer products increased 16% and LinkedIn unit revenue surged 33% and Dynamics products and cloud services revenue advanced 20%.

Revenue in Intelligent Cloud jumped 24% to $8.6 billion and Server products and cloud services revenue increased 28% from a year ago period.

Merck & Co., Inc ((MRK)) fell 51 cents to $70.03 after the medicines and vaccines maker said revenues in the third-quarter ending in September grew 5% from a year ago to $10.8 billion.

Net in the quarter swung to profit of $1.95 billion or 73 cents per diluted share from a loss of $56 million or 2 cents in the same quarter last year.

Merck forecasted fiscal 2018 revenues between $42.1 billion and $42.7 billion and diluted earnings per share in the range of $2.41 to $2.47.

Visa Inc ((V)) increased 2.9% or $3.86 to $138.12 after the financial services provider reported revenues in the first-quarter ending in September soared 12% from a year ago to $5.4 billion.

Net income in the quarter jumped 33% to $2.8 billion or $1.23 per diluted share from $2.1 billion or 90 cents in the same quarter last year.

Visa forecasted fiscal 2018 diluted earnings per share to increase in the high teens range and revenue to increase in the low double digits.