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In the news: Earnings from Sears, Abercrombie, Hewlett-Packard and Hormel, plus Apple losing ground in China

Thursday headlines include earnings misses from Sears and Abercrombie, mixed results from Hewlett-Packard, Apple losing ground in China and an earnings beat from Hormel.

Sears Holdings
Retailer Sears Holdings (SHLD) lost $1.83 per share for the quarter ended Aug. 3, or $1.46 per share on an adjusted basis. Revenue was $8.87 billion. Analysts had expected the company to lose $1.10 per share on $9.01 billion in revenue. Same-store sales declined across the board, declining 2.1% at Kmart stores, 2.5% at Sears stores in Canada and 0.8% at U.S. Sears stores. CEO Edward Lampert said the company is boosting its “Shop Your Way” loyalty program as part of a planned transformation into a member focused company.

Hewlett-Packard
Technology giant Hewlett-Packard (HPQ) earned 71 cents per share in the most-recent quarter, or 86 cents per share on an adjusted basis. Revenue was $27.2 billion. Analysts had expected EPS of 86 cents on $27.3 billion in revenue. CEO Meg Whitman said the performance of the company's Enterprise Group was “very disappointing.” Whitman said Bill Veghte would replace Dave Donatelli as head of the Enterprise Group. Donatelli will take on a role looking for early-stage technologies to invest in.

Abercrombie & Fitch
Teen-focused retailer Abercrombie & Fitch (ANF) earned 14 cents per share in the quarter ended Aug. 3. On an adjusted basis, earnings were 16 cents per share. Revenue was $945.7 million. Analysts had expected the company to earn 28 cents per share on $996.7 million in revenue. CEO Mike Jefferies said the company saw weak traffic and particularly soft sales to women and girls. The company said it expects to earn between 40 and 45 cents per share in the current quarter with same-store sales declining by more than the 10% decline recorded in the second quarter.

Apple
Apple (AAPL) is losing ground in China's tablet market to a variety of competitors who are selling cheaper Android-powered tablets. The company's iPad's accounted for 29 percent of tablet sales in the April-to-June quarter, compared to 49 percent in the year-ago quarter. The company sold 1.48 million iPads, a 28% increase from the year-ago period, but Samsung's Galaxy sales rose by 400% to 571,000, giving Samsung 11 percent of the market, compared to 6 percent in the year-ago period.

Hormel
Protein-focused food processor Hormel (HRL) earned 42 cents per share in the quarter ended July 28. Revenue was $2.16 billion. Analysts had expected the company to earn 45 cents per share on $2.12 billion in revenue. Revenue from grocery products rose 25 percent, boosted by sales of Skippy peanut butter and other products. The company acquired Skippy in January for $700 million. Sales of the company's canned goods also improved. Revenue from refrigerated foods rose 2 percent. The company said it now expects full-year EPS of $1.88 to $1.96 per share. Analysts had expected $1.94 per share.

Bobby Raines

Bobby Raines is the Managing Editor of the Market Intelligence Center. He has degrees in Mass Communications and History from Emory & Henry College. Bobby worked at a mid-sized daily newspaper before making a switch to covering the financial industry full time in the years leading up to the financial crisis. He has been a member of the Fresh Brewed Media team since 2011 and has served as a writer and analyst. You can write to him at braines@marketintelligencecenter.com or follow him on Twitter: @BRatMICenter.