Northern,WI 9/20/2012 (BasicsMedia) — Earnings Movers Today: Conagra (CAG) + Jeffries (JEF).
- Diluted EPS from continuing operations of $0.61 as reported and $0.44 adjusted for items impacting comparability, up 177% as reported and up 42% on a comparable basis.
- Consumer Foods’ operating profit increased 20% as reported and 14% on a comparable basis, even with a strong increase in marketing investment. Segment sales increased 8%, driven by acquisitions.
- Commercial Foods’ operating profit grew 43% as reported and 37% on a comparable basis, as Lamb Weston potato operations delivered good volume, favorable price/mix, and operational efficiencies. Segment sales increased 5%.
- The company has raised its EPS expectations for the fiscal year and now expects fiscal 2013 EPS, adjusted for items impacting comparability, to be in the range of $2.03 – $2.06, which includes a strong year-over-year increase in marketing investment.
- The company continues to expect operating cash flow in excess of $1.2 billion for the fiscal year.
- The board of directors raised the quarterly dividend by $0.01 to $0.25 per share, starting with the dividend to be paid in December 2012. With this change, the annualized dividend becomes $1.00 per share.
Jeffries (NYSE:JEF): -3% Net revenues of $739 million, versus $509 million
- Net earnings to common shareholders of $70 million, versus $68 million ($73 million on a non-GAAP basis after excluding certain items versus $23 million on a non-GAAP basis after excluding certain items.
- Net earnings per common share of $0.31, versus $0.30 ($0.32 on a non-GAAP basis after excluding certain items  and versus $0.10 on a non-GAAP basis after excluding certain items )
- Advisory net revenues of $133 million, up 24%, versus $107 million
- Fixed Income net revenues increased 8-fold to $266 million, versus $33 million
Highlights for the nine months ended August 31, 2012, versus the nine months ended August 31, 2011:
- Net revenues of $2,230 million, up 12%, versus $1,995 million
- Net earnings to common shareholders of $211 million versus $236 million ($221 million on a non-GAAP basis after excluding certain items versus $194 million on a non-GAAP basis after excluding certain items.
- Net earnings per common share of $0.91 versus $1.07 – $0.96 on a non-GAAP basis after excluding certain items versus $0.88 on a non-GAAP basis after excluding certain items
- Advisory net revenues of $392 million, versus $378 million
- Fixed Income net revenues of $897 million, versus $574 million
“On October 2, Jefferies will be 50 years old. Despite a turbulent and often treacherous environment, we have just finished the best nine-month period in our firm’s history. Our equity base of $3.7 billion has never been more robust, and our balance sheet and liquidity have never been stronger. The Jefferies brand and our competitive position versus our competitors have also never been better,” commented Richard B. Handler, Chairman and CEO of Jefferies. “We would like to thank our clients, employee-partners, shareholders, and bondholders for putting Jefferies in our strongest position ever and allowing us collectively to continue our mission to build Jefferies for the next 50 years.”
A conference call with management discussion of these financial results will be held today, Thursday, September 20, 2012, at 9:00 AM Eastern (date and time subject to change).
Investors and securities industry professionals may access the management discussion by calling 877-710-9938 or 702-928-7183. A one-week replay of the call will also be available at 855-859-2056 or 404-537-3406 (conference ID # 25311406). A live audio webcast and delayed replay can also be accessed at Jefferies.com.
Disclaimer: We have no position in either company