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 October 20, 2014

News: Navy grounds ‘Top Guns’ - The F/A-18s needs spare parts and in too many cases they’re being taken from brand new jets. This is a risk to national security and pilots’ lives.   Business: Boeing seeks revised schedule for U.S. aerial tanker - Boeing is revising its master schedule for developing the new U.S. Air Force...
 
 

News Briefs October 20, 2014

New military medical team to help with Ebola in U.S. Defense Secretary Chuck Hagel has ordered the military to prepare and train a 30-member medical support team that could provide short-term help to civilian health professionals if there are more Ebola cases in the United States. His spokesman, Rear Adm. John Kirby, says the team...
 
 

Dragon ‘fires up’ for flight

The Air Force and NATO are undergoing a cooperative development effort to upgrade the avionics and cockpit displays of AWACS aircraft belonging to the 552nd Air Control Wing at Tinker Air Force Base, Okla., and the NATO E-3 Sentrys from Geilenkirchen, Germany. The Diminishing Manufacturing Sources Replacement of Avionics for Global Operations and Navigation, otherwise...
 

 
Boeing photographs

Boeing-built X-37B successfully completes third flight

Unmanned spacecraft concludes record-setting 674-day mission   Boeing photograph A third mission of the Boeing-built X-37B Orbital Test Vehicle was completed on Oct. 17, 2014, when it landed and was recovered at Vandenberg...
 
 

Boeing concludes commercial crew space act agreement for CST-100/Atlas V

Boeing has successfully completed the final milestone of its Commercial Crew Integrated Capability Space Act Agreement with NASA. The work and testing completed under the agreement resulted in significant maturation of Boeing’s crew transportation system, including the CST-100 spacecraft and Atlas V rocket. NASA in July approved the Critical Design Review Board milestone for Boeing’...
 
 

AF to release small business research solicitations

The Air Force Small Business Innovation Research and Small Business Technology Transfer program office is set to release its fiscal year 2015 list of topics Oct. 22, on the SBIR/STTR website.  Small businesses and research institutions with expertise to address the topics’ technology challenges are encouraged to submit proposals. During 2014, the Defense Department SBIR...
 




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>