Business Briefs - Thursday

CHEMICALS

Potash misses due to higher taxes

The fertilizer maker said Q3 EPS rose 63% to 75 cents, missing views by 7 cents, due to higher taxes. RBC Capital Markets said that if the tax rate had been the same as last year's, Potash would have earned 85 cents a share. Sales rose 36% to $1.3 bil. Potash Corp. POT reiterated its full-year EPS of $3-$3.25 vs. views of $3.23. Shares rose 4.9% to 114.58.

Terra Industries TRA, a fertilizer producer, said Q3 EPS rose 410% to 51 cents, beating views by 5 cents. Revenue rose 27.7% to $593.7 mil. Shares rose 0.8% to 34.84. ELECTRONICS

Thermo Fisher tops as sales triple

The laboratory equipment maker said its Q3 EPS rose 48% to 65 cents ex items, beating views by 2 cents. Revenue more than tripled to $724.9 mil. Thermo Fisher Scientific TMO credited demand for life-science and air-quality instruments. It sees '07 earnings of $2.56-$2.59 vs. views of $2.57. It fell 2% to 57.90.

ABB ABB, the U.S. unit of the German firm that makes transformers, switches and industrial robots, said net profit rose 86% to $738 mil. Orders rose 33% to $8.32 bil, while sales improved 26% to $7.19 bil. Shares surged 3.7% to 29.04. DEFENSE

Goodrich raises '07 EPS outlook

The supplier of parts and services for aviation and defense markets said Q3 income rose 38% to $1.10 a share ex items, 20 cents above views. Sales rose 14.8% to $1.6 bil. Goodrich GR boosted its '07 earnings outlook to $3.55-$3.60 a share, below views of $3.63, but trimmed its revenue guidance to $6.4 bil-$6.5 bil due to a business sale. Analysts expected $6.54 bil. It rose 1.1% to 70.31.

Flir Systems FLIR, which makes infrared vision equipment, earned 45 cents a share, up 25% from last year and 6 cents above views. Revenue rose 44% to $191.1 mil. It plans a 2-for-1 stock split on Nov. 12. Shares surged 14.8% to 67.62. Teledyne Technologies TDY, a maker of microwave components, said its Q3 EPS rose 19% to 75 cents, beating views by 4 cents. Revenue rose 12.5% to $408.9 mil. Shares fell 4.5% to 50.73. L-3 Communications LLL, a military contractor, said Q3 earnings rose 19% to $1.56 a share, beating views by 8 cents. Sales rose 11% to $3.45 bil. Shares rose 0.6% to 106.71. IPOs

Three offerings gain on first day

The cosmetics store chain Ultra Salon Cosmetics & Fragrance ULTA gained 65% to 29.82 in its market debut, after it priced at $18, above the projected range of $14-$16 a share. Meanwhile, FGX International FGXI, which designs reading glasses and costume jewelry, climbed 6.5% to 17.05 on its first day of trading after pricing at the high-end of the expected range. Money manager Pzena Investment Management PZN climbed 11.6% to 20.09 in its debut, after it priced at the top of its forecast.

TRANSPORTATION

Cummins skids after profit miss

The diesel engine maker tumbled 16.6% to 111.56 after it said Q3 earnings rose only 9% to $1.84 a share, missing views by 11 cents. Cummins' CMI sales grew 20% to $3.37 bil, topping expectations. Sales at its engine business rose 17% to $2.15 bil on solid demand from light-duty automotive, medium-duty truck, construction and mining sales. The previous two quarters it beat views by 34% and 65%.

LKQ profit up as margins grow

The automobile parts recycler said its Q3 EPS rose 31.6% to 25 cents, beating views by 2 cents. Revenue rose 23% to $243.5 mil, above views. LKQ LKQX said improved profit margins helped the result. The company expects full-year organic revenue growth in the low double digits. Also, it says the recent acquisition of rival Keystone Automotive may slightly hurt its '07 EPS forecast. Shares rose 3.8% to 38.35.

China Southern profit, sales up

The country's largest carrier by fleet size said its Q3 net profit rose 49% to $250.6 mil. Revenue rose 16.9% to $2.20 bil. China Southern Airlines ZNH didn't give a reason for its earnings growth. No analyst estimates were available since the unaudited results were according to Chinese accounting standards. Shares fell 1.3% to 74.74.

Spartan Motors SPAR, a vehicle chassis maker, said Q3 earnings fell 37% to 8 cents a share, missing views by 15 cents, while sales climbed 37% to $149 mil. Results reflect a 3-for-2 stock split effective in June. Shares fell 16.8% to 14.25. Chrysler union workers at Detroit-area plants voted to approve a new 4-year labor contract. The United Auto Workers say there's still a chance it could be rejected. MEDICAL

Plavix boosts Bristol-Myers profit

The drug giant said earnings jumped 73% to 38 cents a share ex items, a penny higher than views. Bristol-Myers Squibb's BMY revenue grew 22% to $5.05 bil, also surpassing expectations. The company said earnings were bolstered by a ruling that extended Plavix's protection from lower-priced generic rivals. Plavix sales doubled to $1.25 bil. It rose 3.3% to 29.36.

Celgene falls on poor drug sales

The drug maker said Q3 earnings rose 94% to 29 cents a share ex items, topping views by a penny. Celgene's CELG revenue rose 43% to $350 mil, missing expectations. The company said it was disappointed with its most important cancer drug, Revlimid, which missed sales targets. It also revised its '07 EPS and sales guidance to below-expectation levels. Shares slid 8.5% to 64.22.

ImClone Systems, IMCL a biotech company, said Q3 earnings swung a Q3 loss of a penny a share, down from a 65-cent gain, missing a 28-cent gain estimate. Revenue fell 2% to $147.6 mil, shy of views. Shares edged up 0.8% to 44.04. LifeCell LIFC, which specializes in human skin grafts, said Q3 earnings rose 40% to 21 cents a share, beating views by a penny. Sales climbed 35% to $47.5 mil, also topping forecasts. LifeCell rose 3% to 42.11. Sanofi-Aventis SNY, the drug maker, ignored misconduct by doctors who helped test an antibiotic that was later linked to several deaths, the FDA said. It rose 1% to 42.63. METALS

L.B. Foster rises on topped views

The maker of rail and construction products said Q3 earnings doubled to 64 cents a share ex items, topping views by 15 cents. L.B. Foster's FSTR sales rose 42% to $135.8 mil, beating forecasts. The company cites overall sales of rail, tubular and construction products for its strong quarter. Shares climbed 5.8% to 41.96.

Q3 results, Q4 views sink Brush

The engineering materials company said Q3 earnings rose 37% to 48 cents a share, missing views by a nickel. Brush Engineered Materials' BW sales rose 15% to $231 mil, below estimates. It said sales of products its in cell phone handsets and magnetic media markets were subpar. For Q4 EPS it sees 50-60 cents, below 62-cent expectations. Shares plunged 21% to 43.64.

MACHINERY

Lincoln Electric zapped after miss

The industrial manufacturing company said its Q3 EPS rose 11.7% to $1.15, missing views by 5 cents. Revenue rose 14% to $564.8 mil, below views. Lincoln Electric Holdings LECO called the results positive, "despite challenges in several key market and geographic segments." Sales at its North American operations rose nearly 5% to $346.7 mil, while sales at its subsidiaries outside North America surged 32% to $218.1 mil. Shares fell 12.8% to 69.77.

ENERGY

Consol Energy rises despite EPS

One of the top coal miners said it swung a 3-cent Q3 loss from last year's 27-cent gain, missing views of 25 cents. Consol Energy's CNX revenue rose 3% to $868 mil, beating views. The company cut its Q4 coal production estimate by 0.5 mil to 16 mil-18 mil tons of coal, assuming its Buchanan mine remains shut down. Shares surged 7.3% to 53.67.

Suntech Power STP, a solar company, said it gets a $1.5 bil contract to buy high-purity polysilicon from Asia Silicon over a 7-year period. It climbed 16.5% to 54.67. TELECOM

Motorola profit falls; outlook lifted

The wireless phone company said its Q3 EPS fell 82.4% to 6 cents, ex items, beating views by 2 cents. Sales fell 16.9% to $8.81 bil in line with views. Motorola MOT still topped expectations for handset shipments in Q3, and its shipping totaled 37.2 mil, including 900,000 of its new Razr 2. It expects Q4 EPS of 12-14, above views. Shares climbed 4% to 19.30. More on A4

LM Ericsson, ERIC the telecom giant, said net profit fell 36% to $615 mil. The company's sales rose 5.5% to $6.73 bil, slightly ahead of guidance. It slipped 2.4% to 29.09. FINANCE

ICE falls after topping estimates

Intercontinental Exchange ICE said Q3 EPS rose 27% to 93 cents, 4 cents ahead of views. The bourse's revenue grew 60% to $151.7 mil, above estimates. The company benefited from higher futures and over-the-counter electronic trading volume. It said licensing costs from exclusively traded Russell Index futures contracts will be 3 times higher than thought. It slid 3.9% to 168.66.