Hardware unit sale lifts Newell Rubbermaid profit

Newell Rubbermaid 3rd-quarter net income rises 79 percent after sale of hardware business

Associated Press

NEW YORK (AP) -- NEWS: Consumer products company Newell Rubbermaid said Friday its net income climbed 79 percent in the third quarter, helped by a gain on the sale of its hardware business.

DETAILS: Newell Rubbermaid Inc. reported improved sales in North American and Latin America and said it gained market share in baby and parenting products, home solutions and tools. In September the company sold its hardware business to investment firm Nova Capital for about $214 million before taxes.

NUMBERS: The Atlanta company said its net income rose to $193.3 million, or 66 cents per share, from $108.3 million, or 37 cents per share. Newell Rubbermaid said it earned 52 cents per share if a gain on the sale and other one-time items are excluded. Revenue grew 2 percent to $1.49 billion from $1.46 billion.

Analysts expected adjusted earnings of 49 cents per share on $1.51 billion in revenue, according to FactSet.

FUTURE: Newell Rubbermaid still expects to report adjusted earnings of $1.80 to $1.84 per share in 2013. Analysts are forecasting $1.82 per share on average.

The company also said it approved a $350 million stock repurchase.

STOCK: Shares of Newell Rubbermaid rose 46 cents, or 1.6 percent, to $29.38 in morning trading after trading as high as $30.44, its highest level since January 2007.

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