Business

April 26, 2012

L-3 Communications first quarter beats street; shares surge

L-3 Communications Holdings Inc.’s net income edged lower in the first quarter as governments spent less on its services.

It was still good enough to beat Wall Street expectations, however, and the defense contractor boosted its full-year earnings guidance as well, sending shares up 6 percent April 26.

L-3′s net income for the three months ended March 31 fell to $201 million, or $2.03 per share, from $203 million, or $1.85 per share in the same period a year earlier.

The result was hurt by higher tax expenses and lower revenue from L-3′s government services segment, which includes communication software support, IT services, engineering services and technical and management services.

The Pentagon is cutting back on spending and expectations for the entire section have been lowered.

Overall revenue fell slightly, to $3.59 billion from $3.6 billion in 2011. The government segment results were weaker because of much-lower revenue from Engility Corp., a subsidiary specializing in systems engineering, training and operational support for U.S. government agencies.

L-3 says it plans to spin off Engility into a separate company later this year. L-3 recorded a $6 million charge in the first quarter for expenses related to the Engility spinoff.

Revenue increased for L-3′s other segments that break out financial results: command, control, communications, intelligence, surveillance and reconnaissance systems; aircraft modernization and maintenance; and electronic systems.

Analysts projected net income of only $1.85 per share on revenue of $3.4 billion.

L-3 now expects to earn $8.45 to $8.60 per share this year on revenue of $14.55 billion to $14.75 billion. That compares with previous guidance of $8.35 to $8.55 per share on revenue of $14.40 billion to $14.60 billion.

On average, analysts surveyed by FactSet were expecting per-share earnings in 2012 of $8.48 on revenue of $14.28 billion. AP

 




All of this week's top headlines to your email every Friday.


 
 

 

Headlines July 30, 2014

News: Software to power F-35 running as much as 14 months late¬†- Software needed to operate Lockheed Martin’s F-35 jet, the Pentagon’s costliest weapons system, may be as much as 14 months late for required flight testing, according to a Pentagon review.   Business: Lockheed will turn on JLTV production line In August; 6-D truck...
 
 

News Briefs July 30, 2014

U.S. military deaths in Afghanistan at 2,197 As of July 29, 2014, at least 2,197 members of the U.S. military had died in Afghanistan as a result of the U.S.-led invasion of Afghanistan in late 2001, according to an Associated Press count. At least 1,819 military service members have died in Afghanistan as a result...
 
 
Lockheed Martin photograph by Tom Reynolds

F-35B successfully completes wet runway, crosswind testing

Lockheed Martin photograph by Tom Reynolds F-35B aircraft BF-4, piloted by Lockheed Martin Test Pilot Dan Levin, starts down the runway as part of wet runway and crosswind testing at Edwards AFB, Calif. In an important program ...
 

 
boeing-chinook

Boeing delivers first U.S. Army multiyear II configured Chinook

Boeing July 29 delivered the first multiyear II configured CH-47F Chinook helicopter to the U.S. Army one month ahead of schedule. The delivery was celebrated in a ceremony at the production facility in Ridley Township, Penn. ‚...
 
 
Army photograph by SSgt. Angela Stafford

Engineers developing safer, more accurate tracer round

Army photograph Tracer rounds enable the shooter to follow the projectile trajectory to make aiming corrections. However, the light emitted by these rounds also gives away the position of the shooter. Engineers at Picatinny Ars...
 
 
NASA photograph by Carla Thomas

Katherine Lott awarded NASA Armstrong employee scholarship

NASA photograph by Carla Thomas Katherine Lott, the recipient of the 2014 NASA Armstrong Employee Exchange Council Joseph R. Vensel Memorial Scholarship, is congratulated by NASA Armstrong center director David McBride. Flankin...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>