7:48 am Invitae names Shelly Guyer CFO effective June 12; current CFO Lee Bendekgey will transition to COO (NVTA) :
- Shelly Guyer was most recently chief financial officer at Veracyt. Prior to her CFO position at Veracyte, Ms. Guyer served as CFO and EVP of finance and administration at iRhythm Technologies, Inc., a digital healthcare company redefining the clinical diagnosis of cardiac arrhythmias.
- "I'm thrilled to be joining Invitae's team of thought leaders to help position the company as an innovator in the dynamic and ever-changing genomics market," said Shelly Guyer, future chief financial officer of Invitae. "It is an exciting time to be joining Invitae as the company continues to redefine the genetic information field and begins to evolve its business beyond the traditional scope of diagnostic testing to include industry-leading content, support, and services."
7:35 am Dollar Tree misses by $0.02, reports revs in-line; guides Q2 EPS below consensus, revs in-line; guides FY18 EPS below consensus, revs in-line (DLTR) :
- Reports Q1 (Apr) earnings of $0.98 per share, excluding non-recurring items, $0.02 worse than the Capital IQ Consensus of $1.00; revenues rose 4.0% year/year to $5.29 bln vs the $5.29 bln Capital IQ Consensus.
- Enterprise same-store sales increased 0.5%. The same-store sales growth was driven by increases in average ticket and comparable transaction count. Same-store sales for the Dollar Tree banner increased 2.5%. Same-store sales for the Family Dollar banner decreased 1.2%.
- Co issues guidance for Q2, sees EPS of $0.80-0.88, excluding non-recurring items, vs. $0.90 Capital IQ Consensus Estimate; sees Q2 revs of $5.18-5.28 bln vs. $5.24 bln Capital IQ Consensus Estimate.
- Slightly positive to low single digit comp store sales increase.
- Co issues guidance for FY18, sees EPS of $4.17-4.43 vs. $4.49 Capital IQ Consensus Estimate; sees FY18 revs of $21.95-22.95 bln (Prior $21.94-22.33 bln)vs. $22.12 bln Capital IQ Consensus Estimate.
- This estimate is based on a slightly positive to low single-digit increase in same-store sales and 3.9% square footage growth.
7:32 am Infosys announces strategic alliance with HP Inc. (INFY) : Infosys and HP Inc. today launched joint Retail Point of Sale and Enterprise Device as a Service solutions to help businesses accelerate digital transformation as part of the HP Global System Integrato Alliance Program.
7:31 am European Markets Update: FTSE UNCH, DAX -0.1%, CAC -0.1% (:SUMRX) :
Major European indices trade near their flat lines with Italy's MIB (-0.5%) showing relative weakness. British political parties will resume campaigning on Friday after a suspension was called in the wake of the terrorist attack in Manchester. U.S. President Donald Trump is in Brussels today, meeting with representatives from the European Union and North Atlantic Treaty Organization. It is worth noting that NATO is in the process of adding Montenegro as its 29th member. The accession is expected to be completed on June 5.
- In economic data:
- UK's Q1 GDP +0.2% quarter-over-quarter (expected 0.3%; last 0.3%); +2.0% year-over-year (consensus 2.1%; last 2.1%). Index of Services +0.2% (consensus 0.3%; last 0.4%). Q1 Business Investment +0.6% quarter-over-quarter (expected 0.2%; last -0.9%); +0.8% year-over-year (last -0.9%). BBA Mortgage Approvals 40,800, as expected (last 40,900)
- Italy's March Industrial New Orders -4.2% month-over-month (last 5.2%); +9.2% year-over-year (last 7.8%). March Industrial Sales +0.5% month-over-month (last 2.0%); +7.2% year-over-year (last 4.6%)
- Spain's Q1 GDP was left unrevised at 0.8% quarter-over-quarter, as expected (last 0.8%); +3.0% year-over-year, as expected (last 3.0%)
- UK's FTSE is flat as gains in consumer names offset losses in select financials. Unilever, Burberry, British American Tobacco, and Sainsbury are up between 0.6% and 1.5% while RSA Insurance, Land Securities, and Barclays show losses between 0.6% and 1.1%.
- Germany's DAX is lower by 0.1% with Deutsche Bank and Commerzbank both down near 1.0%. Automakers Daimler and BMW show respective losses of 0.4% and 0.2% while Volkswagen has risen 0.4%.
- France's CAC is also down 0.1%. Heavyweights like TechnipFMC, ArcelorMittal, LafargeHolcim, and Peugeot have given up between 0.9% and 2.8% while consumer names like L'Oreal, Louis Vuitton, and Danone are up between 0.3% and 0.7%.
- Italy's MIB trades down 0.5%. Financials like Banco Bpm, UBI Banca, Intesa Sanpaolo, FInecoBank, and UniCredit show losses between 0.9% and 2.5%.
7:31 am Rayonier Adv. Materials will acquire Tembec for approx. $807 mln, including the assumption of $487 million of debt net of cash; co expects acquisition to be immediately accretive to EPS and shareholder value (RYAM) :
Acquisition provides the combined company with positions in high purity cellulose end-uses and earning streams from packaging, paper, high-yield pulp and forest products businesses.
- Tembec shareholders will have the right to elect to receive either (i) C$4.05 in cash or (ii) 0.2302 of a share of Rayonier Advanced Materials common stock, for each Tembec common share.
- The purchase price represents a multiple of 4.6 times LTM pro forma EBITDA after expected synergies or 6.3 times before synergies.
- Benefit from enhanced economies of scale, and create projected combined cost synergies of $50 million.
- The transaction is expected to be completed in the second half of 2017.
7:27 am Sanderson Farms beats by $0.45, beats on revs (SAFM) :
- Reports Q2 (Apr) earnings of $2.94 per share, $0.45 better than the Capital IQ Consensus of $2.49; revenues rose 15.9% year/year to $802 mln vs the $769.47 mln Capital IQ Consensus.
- Capital expenditures for the first six months of fiscal 2016 were $67.3 million, including approximately $23.6 million for construction of the St. Pauls, North Carolina complex, and approximately $5.0 million for construction of a new office building on the site of the Company's headquarters in Laurel, Mississippi.
7:22 am U.S. Oil Fund ETF: Oil trades lower following nine-month agreement on supply cuts (USO) : Oil is trading lower by 1.4% around $50.50 after OPEC reportedly agreed to extend the supply cuts implemented in January by nine months. The move lower may be seen as a sell-the-news response to an outcome that is so far in-line with expectations. The members of the meeting are still expected to hold a joint press conference scheduled for 5:00 pm Vienna time today (11:00 am ET).
7:14 am On The Wires (:WIRES) :
- Oceaneering International (OII) has entered into an agreement, expected to extend into 2026, with a major international oil and gas, to provide remotely operated vehicle services and equipment for projects located offshore of Newfoundland and Labrador, Canada. Under the terms of the contract, Oceaneering is to provide two ROV systems onboard a Multi-Function Platform Support Vessel supporting the customer's operations.
- root9B (RTNB) forms a partnership w/ The Chertoff Group. The partnership includes the addition of General Michael Hayden to root9B's Advisory Board and the initiation of a process to raise growth capital, led by investment banking firm Chertoff Capital.
- Diana Containerships Inc. (DCIX) has entered into a time charter contract with Mitsui O.S.K. Lines, Ltd., for one of its Post-Panamax container vessels, the m/v Puelo. The gross charter rate is $14,600 per day, minus a 1.25% commission paid to third parties, for a period of about 50 days. The charter is expected to commence on June 13, 2017. This employment is anticipated to generate ~$730,000 of gross revenue for the scheduled period of the time charter.
- MabVax Therapeutics (MBVX) announced results from the Phase I clinical trial of MabVax's therapeutic antibody MVT-5873, being evaluated in advanced pancreatic cancer and other CA19-9 positive cancers, will be presented in a poster presentation at the American Society of Clinical Oncology (:ASCO) Annual Meeting to be held in Chicago, IL, June 2 - 6, 2017.
7:09 am Asian Markets Close: Nikkei +0.4%, Hang Seng +0.8%, Shanghai +1.4% (:SUMRX) :
Equity indices in the Asia-Pacific region ended Thursday on a higher note. The uptick in the region developed alongside a sudden, late-evening, six-point spike in the S&P 500 futures, which was not associated with any particular headline. It is worth noting that overnight reports from the OPEC meeting indicate that the supply freeze will be extended for nine months, which is disappointing to participants who hoped to hear about an export cut. The Bank of Korea left its repurchase rate unchanged at 1.25%, as expected.
- In economic data:
- Singapore's Q1 GDP -1.3% quarter-over-quarter (expected -1.0%; last -1.9%); +2.7% year-over-year, as expected (last 2.5%)
- Hong Kong's April trade deficit HKD34.10 billion (last deficit of HKD42.30 billion). April Imports +7.3% month-over-month (last 13.0%) and April Exports +7.1% month-over-month (last 16.9%)
- Japan's Nikkei gained 0.4% with countercyclical names like Softbank, Furukawa Electric, Osaka Gas, and Chubu Electric Power gaining between 1.9% and 3.6%. Toshiba jumped 3.3% while Konami, Pioneer, Suzuki Motor, and Fanuc advanced between 1.6% and 3.5%.
- Hong Kong's Hang Seng climbed 0.8% to a fresh high for the year. Financials and property-related names outperformed with Ping An Insurance, China Overseas, China Construction Bank, China Life Insurance, Link Reit, BoC Hong Kong, and Henderson Land rising between 1.1% and 3.3%. Cathay Pacific Air lagged after yesterday's show of strength, falling 1.8%.
- China's Shanghai Composite rallied 1.4%. Huafa Industrial Co, Sinolink Securities, Hebei Baoshuo, Zhonghang Heibao, and Beijing Airport High-Tech Park gained between 5.5% and 9.9%.
- India's Sensex jumped 1.5% to a new record high. Larsen & Toubro surged 5.0% while financials like ICICI Bank, HDFC Bank, SBI, and AXIS Bank climbed between 1.4% and 3.5%. Lupin fell 7.3% in reaction to disappointing results.
- USDJPY +0.3% to 111.83
- USDCNY -0.3% to 6.8705
- USDINR -0.1% to 64.62
7:08 am Best Buy beats by $0.20, beats on revs; guides Q2 EPS in-line; Enterprise Comparable Sales Increased 1.6%. (BBY) :
- Reports Q1 (Apr) earnings of $0.60 per share, excluding non-recurring items, $0.20 better than the Capital IQ Consensus of $0.40; revenues rose 1.0% year/year to $8.53 bln vs the $8.28 bln Capital IQ Consensus. Enterprise Comparable Sales Increased 1.6%. Domestic comparable sales % change -- 1.4%.
- Co issues in-line guidance for Q2, sees EPS of $0.57-0.62, excluding non-recurring items, vs. $0.59 Capital IQ Consensus Estimate. Q2 Guidance: Enterprise revenue in the range of $8.6 billion to $8.7 billion. Enterprise comparable sales change in the range of 1.5% to 2.5%. Domestic comparable sales change in the range of 1.5% to 2.5%.
- FY18 Guidance: Enterprise revenue growth of approximately 2.5%. Enterprise non-GAAP operating income growth rate in the range of 3.5% to 8.5%, based on the recast FY17 non-GAAP operating income of $1.733 billion. On a 52-week basis, Enterprise non-GAAP operating income growth rate in the range of 1.5% to 5.5%, based on the recast FY17 non-GAAP operating income of $1.733 billion
7:08 am Hanwha Q CELLS reports Q1 (Mar) results, beats on revs; guides Q2 revs below estimate (HQCL) :
- Reports Q1 (Mar) earnings of $0.21 per share, may not be comparable to the single analyst estimate of ($0.13); revenues fell 20.3% year/year to $432 mln vs the $418 mln single analyst estimate.
- Co issues downside guidance for Q2, sees Q2 revs of $560-580 mln vs. $650.60 mln single analyst estimate. Reiterates previous guidance of:
- Total module shipments in the range of 5,500 to 5,700 MW
- Revenue-recognized module shipments in the range of 5,300 to 5,500 MW
- Capital expenditures of approximately $50 million for manufacturing technology upgrades and certain R&D related expenditures
- "Our first quarter results were modestly ahead of our plan and we are pleased to report that we have returned to a profitable quarter despite a challenging industry environment," said Mr. Seong-woo Nam, Chairman and CEO of Hanwha Q CELLS. Mr. Nam continued "We have been focusing on strengthening our sales backlog early on to increase our operational visibility in 2017 while diversifying our regional and segmental business profile to better navigate different market cycles."
7:07 am Brady reports EPS in-line, misses on revs; raises lower end of FY17 EPS guidance, in-line with consensus (BRC) :
- Reports Q3 (Apr) earnings of $0.43 per share, in-line with the Capital IQ Consensus of $0.43; revenues fell 3.8% year/year to $275.9 mln vs the $279.39 mln Capital IQ Consensus.
- Co issues in-line guidance for FY17, sees EPS of $1.80-1.85 vs. $1.81 Capital IQ Consensus Estimate, which compares to prior guidance of $1.75-1.85
- Included in this guidance are organic sales ranging from a low single-digit decline to slightly positive growth
7:03 am Patterson Companies beats by $0.05, misses on revs; guides FY18 EPS in-line (PDCO) :
- Reports Q4 (Apr) earnings of $0.69 per share, $0.05 better than the Capital IQ Consensus of $0.64; revenues fell 0.6% year/year to $1.45 bln vs the $1.46 bln Capital IQ Consensus.
- Co issues in-line guidance for FY18, sees EPS of $2.25-2.40 vs. $2.37 Capital IQ Consensus Estimate.
7:03 am Ionis Pharma announces publication in The New England Journal of Medicine of key preclinical findings with angiopoietin-like 3 (ANGPTL3)-targeting drugs and Phase 1/2 clinical study results with AKCEA-ANGPTL3-LRx (IONS) :
The study resulted in substantial, dose-dependent reductions in multiple lipids and lipoproteins, including triglycerides, LDL cholesterol, apolipoprotein B, non-HDL cholesterol and apolipoprotein C-III.
- AKCEA-ANGPTL3-LRx was well tolerated with no serious adverse events.
- Ionis and Akcea are developing AKCEA-ANGPTL3-LRx, to treat rare hyperlipidemias, non-alcoholic fatty liver disease (:NAFLD) and combined dyslipidemias to potentially prevent and treat cardiovascular disease.
7:02 am Medtronic beats by $0.02, reports revs in-line; guides FY18 EPS above consensus (MDT) :
- Reports Q4 (Apr) earnings of $1.33 per share, $0.02 better than the Capital IQ Consensus of $1.31; revenues rose 4.6% year/year to $7.92 bln vs the $7.86 bln Capital IQ Consensus.
- Co issues upside guidance for FY18, sees EPS of +8-9% to $4.97-5.01 vs. $4.93 Capital IQ Consensus Estimate.
- Guidance: In fiscal year 2018, the company expects constant currency revenue growth to be in the range of 4 to 5 percent. While the impact of foreign currency is fluid, if current exchange rates remain similar for the remainder of the fiscal year, the company's revenue would be positively affected by approximately $75 million to $175 million for the fiscal year, including an approximate negative $10 to negative $60 million impact in the first fiscal quarter. In fiscal year 2018, the company expects diluted non-GAAP EPS growth to be in the range of 9 to 10 percent on a constant currency basis.
7:02 am Fiesta Restaurant CEO sends letter to shareholders, say best path forward is 'to remain on our current course' (FRGI) :
7:02 am Signet Jewelers misses by $0.62, misses on revs; reaffirms FY18 EPS guidance (SIG) :
- Reports Q1 (Apr) earnings of $1.03 per share, $0.62 worse than the Capital IQ Consensus of $1.65; revenues fell 11.1% year/year to $1.4 bln vs the $1.46 bln Capital IQ Consensus.
- E-commerce sales in the first quarter were $81.0 million, up $0.9 million or 1.1% compared to $80.1 million in the first quarter Fiscal 2017. By operating segment:
- Sterling Jewelers' SSS decreased 12.8% driven by declines across merchandise categories. Average transaction value increased 3.7%, but the number of transactions declined 16.6%. Higher-priced bridal jewelry as well as select diamond fashion jewelry and brands outperformed lower-priced merchandise. Off-mall sales led the division.
- Zale Jewelry's SSS decreased 12.7%. Average transaction value increased 2.9%, while the number of transactions decreased 16.9%. Like the Sterling division, broad declines across merchandise categories drove the SSS decline, and higher-priced bridal jewelry and diamond fashion jewelry outperformed lower-priced merchandise.
- Piercing Pagoda's SSS decreased 1.3%. Average transaction value increased 6.9%, while the number of transactions decreased 8.2%. Higher sales of 14 kt. gold chains, children's and religious jewelry nearly offset lower sales principally in diamond jewelry.
- UK Jewelry's SSS decreased 3.5%. Average transaction value increased 12.4% and the number of transactions decreased 14.4%. The SSS decline was driven principally by lower sales of jewelry offset by higher sales of watches. Strong sales of prestige watches drove average transaction value.
- Co reaffirms guidance for FY18, sees EPS of 7.00-7.40 vs. $6.90 Capital IQ Consensus Estimate.
- SSS down low-to-mid single-digit %
- Capital expenditures $260 million to $275 million
- Net selling square footage growth -1% to 0%
- "We continue to take decisive action to adapt our business to the current challenging retail environment and to position our company for long-term growth. Importantly, during the quarter, we made significant improvements to our online platforms and continued to accelerate our digital marketing efforts which resulted in a measurable sequential improvement in our e-commerce performance. We also made important changes to our organizational structure and strengthened our team to drive our 2020 Strategic Vision and deliver operational efficiencies. Based on the progress we achieved to date on our Customer-First OmniChannel strategy and with a number of initiatives underway, we expect Fiscal 2018 results to be within our previously-announced guidance range.
7:01 am Genesco misses by $0.22, reports revs in-line; lowers FY18 EPS below consensus (GCO) :
- Reports Q1 (Apr) earnings of $0.06 per share, $0.22 worse than the Capital IQ Consensus of $0.28; revenues fell 0.8% year/year to $643.4 mln vs the $644.15 mln Capital IQ Consensus.
- Co issues downside guidance for FY18, sees EPS of $3.90-4.05 vs. $4.44 Capital IQ Consensus Estimate, down from previously issued guidance range of $4.40-4.55
- Co believes Journeys' comp recovery will take longer to materialize than previously expected due to a more significant slowdown in the declining part of its merchandise assortment.
- In addition, Co has adopted a more conservative outlook for store-based sales given the anemic level of mall traffic year-to-date and the more pronounced shift in consumer spending away from stores to online.
- This guidance assumes comparable sales are flat to up to 1% for the full year
7:00 am ContraFect initiates Phase 2 study evaluating its CF-301, as a potential treatment of Staphylococcus aureus (Staph aureus) bacteremia including right sided endocarditis; expects to announce top line results in 4Q18 (CFRX) : This multicenter, randomized, double-blind, placebo-controlled study is designed to evaluate the potential for CF-301 to be used in addition to standard-of-care (:SOC) antibiotics to significantly improve clinical success rates compared to SOC antibiotics alone. Safety, tolerability, and pharmacokinetics of CF-301 will also be evaluated in the study.
6:58 am On The Wires (:WIRES) :
- Nordic American Offshore's (NAO) executive chariman and his family increase holding in company. Herbjorn Hansson and his son, Alexander, yesterday, May 24, 2017, bought 150,000 shares in NAO at an average price of $1.12/share.
- Digital Power (DPW) has received regulatory approval in connection with the acquisition of the controlling interest in Microphase Corporation, a global designer, developer, equipment manufacturer and creator of electronic components, devices and subsystems for the Defense, Aerospace and Telecommunication sectors.
6:57 am Diana Containerships receives written notification from the Nasdaq indicating the co was below the minimum $1.00/share bid price requirement (DCIX) : The Company intends to monitor the closing bid price of its common stock between now and November 20, 2017 and is considering its options, including a reverse stock split, in order to regain compliance with the Nasdaq.
6:56 am Intl Game Tech. PLC misses by $0.15, misses on revs (IGT) :
- Reports Q1 (Mar) earnings of $0.29 per share, excluding non-recurring items, $0.15 worse than the Capital IQ Consensus of $0.44; revenues fell 10.1% year/year to $1.15 bln vs the $1.18 bln Capital IQ Consensus.
- The Company updated its outlook to account for the closing of the DoubleDown transaction by the end of the second quarter and the impact of new taxation on gaming machines in Italy. The Company currently expects full year 2017 adjusted EBITDA of $1,600-$1,680 million, compared to its previous outlook of $1,680-$1,760 million. Net debt is now expected to be $6,950-$7,150 million at the end of 2017, compared to the previous $7,600-$7,800 million outlook, as net proceeds from the DoubleDown sale will be used to reduce debt.
6:56 am Red Hat to acquire Codenvy, provider of cloud-native development tools that enable developers to create container-based and cloud-native applications; terms not disclosed (RHT) : The transaction is subject to customary closing conditions and is expected to have no material impact to Red Hat's guidance for its first fiscal quarter ending May 31, 2017, or fiscal year ending Feb. 28, 2018.
6:55 am Titan Machinery misses by $0.03, beats on revs; reaffirms EPS outlook (TITN) :
- Reports Q1 (Apr) loss of $0.19 per share, $0.03 worse than the Capital IQ Consensus of ($0.16); revenues fell 7.3% year/year to $264.1 mln vs the $257 mln Capital IQ Consensus.
- Co lowers International revs to +3-8%, down from +13-18% prior
- Co lowers Equipment Margin to 6.3-6.8% to 7.0-7.5% prior
- Co reaffirms FY17 EPS, seen as Slightly Positive
6:54 am Nomad Foods beats by EUR 0.01, reports revs in-line; raises FY17 EBITDA guidance (NOMD) :
- Reports Q1 (Mar) earnings of 0.25 per share, excluding non-recurring items, 0.01 better than the Capital IQ Consensus of 0.24; revenues fell 2.9% year/year to 531.3 mln vs the 534.03 mln Capital IQ Consensus.
- Adjusted EBITDA decreased 11% to 89 million due to the aforementioned factors. Foreign exchange currency translation adversely affected adjusted EBITDA by 4 million.
- FY17 Guidance: The Company raises its 2017 Adjusted EBITDA outlook to a range of approximately 315 to 325 million, versus the prior expectation of approximately 315 million, which now assumes organic revenue growth at a low-single digit percentage rate.
6:53 am Signet Jewelers confirms sale of $1 bln of its A/R to Alliance Data Systems (ADS) at par value; will form a seven-year partnership with Aaron's (AAN) to provide a lease-purchase payment program to Signet customers who do not qualify for Signet's credit programs (SIG) :
- The first phase of the outsourced partnership structure is designed to substantially maintain Signet's net sales.
- The transaction is expected to be accretive to EPS in the first full year of operations based on current stock prices and an October 2017 close.
- The Company expects an improved cash flow profile and capital efficiency with a slight decline in operating income from the sale of its primary credit program.
- Signet expects to realize a non-cash pretax gain due to a reclassification of receivables that will be purchased by Alliance Data from "assets held for investment" to "assets held for sale" in the second quarter of fiscal 2018.
- This excludes estimated transaction costs of $35 million to $45 million in fiscal 2018.
- Signet intends to use the proceeds from the sale of its prime receivables to Alliance Data to repay its $600 million securitization facility and repurchase shares over time depending on market conditions.
6:53 am Burlington Stores beats by $0.09, reports revs in-line; guides Q2 EPS in-line, revs in-line; raises FY18 EPS in-line, revs in-line; Q1 comps +0.5% (BURL) :
- Reports Q1 (Apr) earnings of $0.79 per share, $0.09 better than the Capital IQ Consensus of $0.70; revenues rose 4.9% year/year to $1.35 bln vs the $1.36 bln Capital IQ Consensus. Q1 Comparable store sales increased 0.5%. Gross margin expanded by 80 basis points to 40.9% driven primarily by increased merchandise margin.
- Co issues in-line guidance for Q2, sees EPS of $0.45-0.50 vs. $0.50 Capital IQ Consensus Estimate; sees Q2 revs of +6.7% to 7.7% to ~$1.339-1.351 bln vs. $1.35 bln Capital IQ Consensus Estimate. Q2 Guidance: Comparable store sales to increase in the range of 2% to 3% on top of a 5.4% increase during the second quarter of Fiscal 2016
- Co issues in-line guidance for FY18, raises EPS to $3.86-3.96 from $3.77-3.87 vs. $3.89 Capital IQ Consensus Estimate; sees FY18 revs of +7.3-8.1% to ~$5.972-6.016 bln vs. $6.04 bln Capital IQ Consensus Estimate. FY18 Guidance: Comparable store sales to increase in the range of 2% to 3% for the balance of the year resulting in a full year comparable store sales increase of 1.6% to 2.4% on top of the 4.5% increase during Fiscal 2016.
6:50 am Movado Group misses by $0.09, reports revs in-line; reaffirms FY18 EPS guidance, revs guidance (MOV) :
- Reports Q1 (Apr) earnings of $0.01 per share, excluding non-recurring items, $0.09 worse than the Capital IQ Consensus of $0.10; revenues fell 13.0% year/year to $99.3 mln vs the $100.23 mln Capital IQ Consensus.
- Earnings exclude $4.4 million of expenses, net of $1.9 million of tax, related to the cost savings initiatives in fiscal 2018
- Co reaffirms guidance for FY18, sees EPS of $1.40-1.55 vs. $1.43 Capital IQ Consensus Estimate; sees FY18 revs of $515-530 mln vs. $520.27 mln Capital IQ Consensus Estimate.
- In addition, the two companies entered into a long-term agreement where Alliance Data will become the primary issuer of private-label credit cards and related marketing services for Signet.
- Alliance Data will also acquire a portion of Signet's existing customer care operations in Ohio, including ~250 employees, as part of the transaction.
- Closing of the transaction is expected in the fourth quarter of 2017.
- Further terms of the agreement were not disclosed.
6:47 am Comstock Mining 'has significantly advanced two strategic venture discussions this week and anticipates that at least one transaction will occur during the second quarter' (LODE) :
- Additionally, the Company advanced metallurgical column tests from the Dayton Resource Area, for the purpose of assessing optimum metallurgical feasibility for the Dayton mineralized material. The Company has established four, full metallurgical column tests, two cyanide and two non-cyanide, running parallel, that support and advances the feasibility study for establishing proven and probable reserves at the Dayton Mine. The samples were crushed, agglomerated and loaded into four ten-foot columns for leach pad simulation.
- The Company also updated that the new USA Parkway, an 18-mile-long, four-lane state route between Interstate 80 and U.S. 50 will further link the greater Reno/Sparks area with the U.S. 50 Silver Springs corridor, remains on schedule for completion in 2017. The $75.9 million project is expected to reduce travel times by as much as 38% for those traveling between I-80 and U.S. 50 in Storey and Lyon counties.
6:46 am Advanced Drainage Systems increases quarterly dividend to $0.07/share from $.006/share (WMS) :
6:44 am Advanced Drainage Systems reports Q4 (Mar) results, beats on revs; guides FY17 revs above consensus (WMS) :
- Reports Q4 (Mar) loss of $0.22 per share, may not be comparable to the two analyst estimate of ($0.07); revenues fell 0.5% year/year to $244.2 mln vs the $228.82 mln two analyst estimate.
- Co issues upside guidance for FY17, sees FY17 revs of $1.275-1.325 bln, excluding non-recurring items, vs. $1.24 bln Capital IQ Consensus Estimate.
- Net sales for fiscal year 2018 are expected to be in the range of $1.275 billion to $1.325 billion, while the outlook for Adjusted EBITDA (Non-GAAP) is expected to be in the range of $200 and $220 million for fiscal year 2018. Capital expenditures are expected to be approximately $55 to $60 million.
- Joe Chlapaty, Chairman and Chief Executive Officer of ADS commented, "In light of the challenging market environment, we were pleased with our overall performance during fiscal 2017. We continued our long track record of market conversion in our core construction markets, with sales in both non-residential and new residential construction growing 300 basis points above their respective markets. We also generated Adjusted EBITDA of over $193 million, within our updated guidance range, and had another strong year of favorable cash flow generation."
6:40 am Quanta Services authorizes $300 mln share repurchase program through June 30, 2020 (PWR) :
6:35 am Hormel Foods misses by $0.01, misses on revs; reaffirms FY17 EPS guidance (HRL) :
- Reports Q2 (Apr) earnings of $0.39 per share, $0.01 worse than the Capital IQ Consensus of $0.40; revenues fell 4.9% year/year to $2.19 bln vs the $2.22 bln Capital IQ Consensus.
- Grocery Products operating profit up 15 percent; volume up 2 percent; Non-GAAP adjusted volume flat; sales up 8 percent; Non-GAAP adjusted sales up 2 percent
- International & Other operating profit up 38 percent; volume up 17 percent; sales up 19 percent
- Refrigerated Foods operating profit flat; volume down 14 percent; Non-GAAP adjusted volume up 1 percent; sales down 6 percent; Non-GAAP adjusted sales up 5 percent
- Specialty Foods operating profit down 16 percent; volume down 33 percent; Non-GAAP adjusted volume up 3 percent; sales down 24 percent; Non-GAAP adjusted sales flat
- Jennie-O Turkey Store operating profit down 29 percent; volume down 6 percent; sales down 8 percent
- Co reaffirms guidance for FY17, sees EPS of $1.65-1.71 vs. $1.66 Capital IQ Consensus Estimate.
- "We are maintaining our fiscal 2017 guidance range of $1.65 to $1.71 per share but expect the results at Jennie-O Turkey Store to push our full-year earnings toward the lower end of this range," Snee said. "We expect the pressure on Jennie-O Turkey Store to continue for the remainder of the fiscal year given the oversupply in the turkey industry."
6:33 am Christopher & Banks beats by $0.05, beats on revs; comps -8.9% (CBK) :
- Reports Q1 (Apr) loss of $0.10 per share, excluding non-recurring items, $0.05 better than the single analyst estimate of ($0.15); revenues fell 11.4% year/year to $88.6 mln vs the $86.9 mln single analyst estimate.
- Comparable sales decreased 8.9% following a 6.2% increase in the same period last year. eCommerce sales increased 14.7%.
- Gross margin rate decreased 320 basis points to 34.5%, as compared to last year's first quarter
6:31 am Vulcan Materials to acquire its aggregates business, Aggregates USA LLC for $900 million in cash; expects the transaction to be accretive to EPS in the first year following the close (VMC) :
6:07 am Sears Holdings misses by $1.43, beats on revs; Sears Domestic comps -12.4% (SHLD) :
- Reports Q1 (Apr) loss of $2.15 per share, excluding non-recurring items, $1.43 worse than the two analyst estimate of ($0.72); revenues fell 20.3% year/year to $4.3 bln vs the $4.05 bln two analyst estimate.
- At Kmart, comparable store sales decreased 11.2% during the first quarter of 2017, primarily driven by declines in the grocery & household, pharmacy, apparel and home categories.
- Sears Domestic comparable store sales decreased 12.4% during the quarter, primarily driven by decreases in the home appliances, apparel and lawn & garden categories.
- Adjusted EBITDA was $(222) million in the first quarter of 2017, as compared to $(181) million in the prior year first quarter.
- "In April 2017, we provided an update to our restructuring program, including increasing our annualized cost savings target to $1.25 billion. On May 15, 2017, the Company entered into an agreement to annuitize $515 million of pension liability with MLIC, under which MLIC will pay future pension benefit payments to approximately 51,000 retirees. In addition, the Company recently reached an agreement to extend the maturity of $400 million of our $500 million 2016 Secured Loan Facility from July 2017 to January 2018, with the option to further extend the loan until July 2018."
6:05 am Global Sources amend proposed Plan of Amalgamation, providing for an increase in the amalgamation consideration from $18.00/share in cash to $20.00/share in cash (GSOL) :
On May 24, 2017, the Company's Board received a proposal from a third party to acquire all the outstanding common shares of the Company for $20.00/share in cash.
- On May 25, 2017, the Board received a proposal from Parent to amend the original Agreement and Plan of Amalgamation to increase the amalgamation consideration from $18.00 per share to $20.00/share.
- The Board unanimously approved the Amended Amalgamation Agreement and the transactions contemplated by the Amended Amalgamation Agreement, and continues to recommend that the Company's shareholders approve the Amended Amalgamation Agreement and the transactions contemplated by the Amended Amalgamation Agreement.
6:05 am Sun Communities upsizes offering by 700K shares and prices 4.2 mln shares of common stock; final terms undisclosed (SUI) :
6:03 am NanoString Technologies will present highlights using the nCounter platform at ASCO (NSTG) :
- nCounter platform and reagents were used for longitudinal modular transcriptome analysis of PBMC from patients with stage 4c nasopharyngeal carcinoma who received first line chemo-immunotherapy with the aim of identifying signatures associated with positive clinical outcomes. Results from this study showed that 2-year survivors displayed significant decreased amounts of monocytic myeloid-derived suppressor cells (mMDSCs), compared to non-survivors.
- A Nanostring platform was used to determine the CMS classification of 392 KRAS wt (codon 12 and 13) primary tumors and correlated it with OS and PFS in patients enrolled in 80405. Data suggest that CMS is associated with OS and PFS in first line therapy in mCRC patients. Preliminary data suggest that certain CMS may be associated with efficacy of Bev and Cet based chemotherapy.
- In this prospective decision impact study, Prosigna results led to a 39% change in adjuvant therapy indication. Patients with initial indication of CHT were changed to HT alone in > 50% of cases. Thus, Prosigna results influenced the treatment decisions and reinforced its clinical utility in real-world settings. The intrinsic subtype classification based on IHC didn't show to be an adequate surrogate for the genomic subtypes as determined by Prosigna.
6:00 am Shanghai...+202.28 (+1.43%) (FXI) :
6:00 am S&P futures vs fair value: +6.50. Nasdaq futures vs fair value: +19.40. :
6:00 am European Markets : FTSE...7523.77...+8.90...+0.10%. DAX...12658.59...+15.70...+0.10%.
6:00 am Asian Markets : Nikkei...19813...+70.20...+0.40%. Hang Seng...25631...+202.30...+0.80%.
5:00 am On The Wires (:WIRES) :
- China National Chemical Corp announced the provisional end results for ChemChina's offer to acquire Syngenta (SYT). Based on preliminary numbers, at the end of the Additional Acceptance Period on May 24, around 92.2% of shares have been tendered.
- CalAmp (CAMP) announced the availability of new capabilities for its innovative CrashBoxx vehicle risk management system. The ground-breaking system enables insurers, fleet managers and vehicle repair centers to leverage the enhanced capability of CrashBoxx to reliably provide automated accident reconstruction and predictive vehicle damage assessments.
- NXP Semiconductors N.V. (NXPI) announced that the Ecuadorian Government has again chosen NXP's SmartMX2 secure microcontroller for the country's new multi-purpose contactless citizen ID card.
- Toshiba's (TOSBF) Storage & Electronic Devices Solutions Company announced the launch of "TPD4207F," the latest addition to its line-up of high voltage intelligent power devices in small-size packages for use in fan motors, including those of air conditioners, air cleaners and pumps. The new IPD is housed in a small "SOP30" surface mount package, and achieves an increased current rating of 5A and high voltage of 600V. Mass production shipments start today.
- Pitney Bowes (PBI) announced plans to open a new Operations Centre in Dublin that will house a three-year multi-million euro R&D project focused on developing a next generation e-commerce and payments platform for global brands.
- Aviva plc (AVVIY) announced that it will commence a share buy-back of Aviva's ordinary shares for up to a maximum consideration of 300 million. Aviva has entered into a non-discretionary agreement with Morgan Stanley to enable the purchase of Aviva ordinary shares by Morgan Stanley, acting as principal, during the period running from May 25 and ending no later than Dec 15.
4:18 am On The Wires (:WIRES) :
- Avnet (AVT) announced that it will be merging its distribution centres in to one new facility to increase productivity efficiency and speed-to-delivery. The new modern mega facility will consolidate Avnet's distribution centres in Hong Kong and Shenzhen from four to one. The varied locations came about due to past acquisitions. Through optimizing logistic flow and centralising inventory, the company expects to bring about steep productivity improvement of its north Asian region operation by more than 15%.
- Toshiba Tec (TOSBF) unveiled the world's first hybrid multi-function peripheral, the e-STUDIO5008LP series, which prints regular black prints as well as erasable blue prints within one device. The unique and eco-conscious product will be available this July.
4:17 am Lenovo reports Q4 results; revs rise 5% YoY (LNVGY) :
- Reports Q4 EPS of $0.97, compared to $1.62 last year; revs increased 5% YoY to $9.58 bln
- Geographic Overview
- In China, in the fourth fiscal quarter, Lenovo's consolidated sales were $2.3 billion, a decrease of 3%year-over-year.
- In Asia Pacific, Lenovo's sales were 18.1%of the Company's total worldwide sales during the fourth fiscal quarter
- In Europe, Middle East and Africa, consolidated sales in the fourth fiscal quarter were up 5.9%year-over-year to $2.6 billion.
- In the Americas, consolidated sales grew to $2.9 billion, 30.7%of the Company's total sales for the quarter, and a 8.2%increase year-over-year.
- In China, in the fourth fiscal quarter, Lenovo's consolidated sales were $2.3 billion, a decrease of 3%year-over-year.
4:11 am On The Wires (:WIRES) :
- Tesoro Corporation (TSO) announced that the waiting period applicable to its proposed acquisition of Western Refining (WNR) pursuant to the Hart Scott Rodino Act has terminated. This satisfies one of the final conditions to the closing of the pending acquisition. Tesoro therefore expects the closing of the acquisition to occur on June 1, 2017, subject to the satisfaction or waiver of the remaining customary conditions to closing.
- IBM (IBM) announced new incident response capabilities, from its IBM Resilient security portfolio, to help companies address the new General Data Protection Regulation. These capabilities are designed to help clients rehearse, prepare for and manage the new regulations. GDPR is one of the biggest changes in data privacy law in decades which goes into effect on May 25, 2018.
4:10 am LendingTree prices $265 mln of its 0.625% convertible senior notes due 2022 (TREE) :
4:09 am Appian (Nasdaq) prices 6.3 mln share IPO at $12.00 per share, at the mid-pt of the $11-13 expected range (APPN) :
4:08 am WideOpenWest (:NYSE) prices 18.2 mln share IPO at $17.00 per share, below the expected range of $20-22 per share (WOW) :
- The offering was downsized from 19.1 mln prior
4:06 am BlackLine prices follow-on offering by certain selling stockholders of 3,478,261 shares of its common stock at $33.00 per share (BL) :
4:04 am Bank of the Ozarks prices 6.6 mln shares of common stock for gross proceeds of $302.3 mln (OZRK) :
4:03 am 58.com beats by $0.38, beats on revs; guides Q2 revs above consensus (WUBA) :
- Reports Q1 (Mar) earnings of $0.10 per share, $0.38 better than the Capital IQ Consensus of ($0.28); revenues rose 24.6% year/year to $288.2 mln vs the $262.68 mln Capital IQ Consensus.
- Co issues upside guidance for Q2, sees Q2 revs of CNY2.25-235 bln vs. CNY2.16 bln Capital IQ Consensus Estimate.
3:58 am MINDBODY prices follow-on offering of 4.4 mln shares of common stock at $27.95 per share (MB) :
3:56 am OneMain Holdings subsidiary Springleaf Finance Corp prices $500 mln of its 6.125% Senior Notes due May 2022 (OMF) :
3:55 am Syndax Pharmaceuticals prices 3.75 mln shares of common stock of $13.25 per share (SNDX) :
3:51 am Camping World prices offering by co and selling shareholders of 9.5 mln shares of common stock at $27.75 per share (CWH) :