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 7, 2015

News: F-35 loses dogfight to fighter jet from 1980s – A new report alleges that an F-35A was defeated by the very aircraft it is meant to replace.   Business: South Korea selects Airbus for $1.33 billion tanker contract – European aerospace giant Airbus won a $1.33 billion deal June 30 to supply air refueling...
 
 
U.S. Chamber of Commerce photograph

Boeing, Embraer to collaborate on ecoDemonstrator technology tests

U.S. Chamber of Commerce photograph Frederico Curado, president & CEO of Embraer, and Marc Allen, president of Boeing International, at the Brazil-U.S. Business Summit in Washington, D.C. The event occurred during an offici...
 
 
Untitled-2

Tactical reconnaissance vehicle project eyes hoverbike for defense

The U.S. Army Research Laboratory, or ARL, has been exploring the tactical reconnaissance vehicle, or TRV, concept for nearly nine months and is evaluating the hoverbike technology as a way to get Soldiers away from ground thre...
 

 
Air Force photograph by SSgt. William Banton

Upgraded AWACS platform tested at Northern Edge

Air Force photograph by SSgt. William Banton Maintenance crew members prepare an E-3G Sentry (AWACS) for takeoff during exercise Northern Edge June 25, 2015. Roughly 6,000 airmen, soldiers, sailors, Marines and Coast Guardsmen ...
 
 
LM-Legion

Lockheed Martin’s Legion Pod™ takes to skies

Lockheed Martin photograph by Randy Crites Lockheed Martin’s Legion Pod recently completed its first flight test, successfully tracking multiple airborne targets while flying on an F-16 in Fort Worth, Texas. Legion Pod was in...
 
 
Air Force photograph by SSgt. Marleah Robertson

First Marine graduates Air Force’s F-35 intelligence course

Air Force photograph by SSgt. Marleah Robertson Marine Corps 1st Lt. Samuel Winsted, an F-35B Lightning II intelligence officer, provides a mock intelligence briefing to two instructors during the F-35 Intelligence Formal Train...
 




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=""> <s> <strike> <strong>