Free Research Report as Harris’ Adjusted EPS Surged 21.01%; Revenues Grew 5.94%

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LONDON, UK / ACCESSWIRE / February 09, 2018 / Active-Investors.com has just released a free earnings report on Harris Corp. (NYSE: HRS). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=HRS. Harris posted its second quarter fiscal 2018 (Q2 FY18) financial results on January 30, 2018. The leading technology innovators' revenue and earnings surpassed market expectations. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is currently working on the research report for Infinera Corporation (NASDAQ: INFN), which also belongs to the Technology sector as the Company Harris. Do not miss out and become a member today for free to access this upcoming report at:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Harris most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

During the second quarter of the fiscal year 2018, Harris posted net sales of $1.54 billion compared to $1.45 billion in Q2 FY17, reflecting an increase of 5.94%. The upside was driven by increase in Communication and Electronic Systems segments. Revenue numbers beat analysts' estimates of $1.48 billion.

The Company's gross margin was $536.00 million in Q2 FY18 compared to $529.00 million in Q2 FY17, increasing 1.32% on a y-o-y basis. The increase was due to higher revenue in Communications Systems segment. Harris' selling, general, and administrative (SG&A) expenses amounted to $264.00 million in the reported quarter compared to $252.00 million in Q2 FY17, increasing 4.76% on a y-o-y basis. The Company's operating income was $272.00 million in Q2 FY18 compared to $277.00 million in Q2 FY17, decreasing 1.81% on a y-o-y basis.

Harris' net income was $139.00 million in the reported quarter compared to net income of $177.00 million in Q2 FY17, decreasing 21.47% on a y-o-y basis. The Company's earnings per share (EPS) were $1.15 in Q2 FY18 compared to of $1.40 in the second quarter of the previous fiscal year, decreasing 17.86% on a y-o-y basis. The decline was attributed to the recent enactment of the Tax Cuts and Jobs Act. The Company's adjusted earnings were $1.67 in the reported quarter compared to $1.38 in Q2 FY17, reflecting an increase of 21.01% on a y-o-y basis. Earnings beat analysts' estimates of $1.40.

Harris' Segment Details

Harris has three business segments, namely: (i) Communications Systems, (ii) Electronic Systems, and (iii) Space and Intellegent Systems.

Revenues from Communications Systems segment increased 18.40% to $489.00 million in Q2 FY18 compared to $413.00 Q2 FY17. The segment's operating income was $144.00 million in the reported quarter compared to $121.00 million in Q2 FY17, increasing 19.00% on a y-o-y basis.

Revenues from its Electronic Systems segment increased 2.46% to $584.00 million in Q2 FY18 compared to $570.00 million in Q2 FY17. The segment's operating income was $101.00 million in the reported quarter compared to $134.00 million in Q2 FY17, decreasing 24.63% on a y-o-y basis.

Revenue from Space and Intellegent Systems segment decreased 0.64% to $465.00 million in Q2 FY18 compared to $468.00 million Q2 FY17. The segment's operating income was $81.00 million in the reported quarte, compared to $76.00 million in Q2 FY17, increasing 6.58% on a y-o-y basis.

Cash Matters

Harris had cash and cash equivalents of $422.00 million as on December 29, 2017, compared to $361.00 million as on December 30, 2016. The Company's cash inflow from operating activities was $278.00 million in Q2 FY18 compared to $252.00 million in Q2 FY17. Free cash flow was $258.00 million in the reported quarter compared to $224.00 million in Q2 FY17.

Harris' Board of Directors had declared a regular quarterly cash dividend of $0.57 per share, which was paid on December 01, 2017, to shareholders of record on November 17, 2017. During the reported quarter, Harris repurchased shares worth $77.00 million.

Outlook

For the fiscal year 2018, Harris expects sales to be in the range $6.08 billion to $6.14 billion, and EPS to be in the band of $5.78 to $5.98. Adjusted EPS is projected to be in the band of $6.30 to $6.50 and free cash flow to be approximately $900.00 million.

Stock Performance Snapshot

February 08, 2018 - At Thursday's closing bell, Harris' stock declined 1.93%, ending the trading session at $149.84.

Volume traded for the day: 1.38 million shares, which was above the 3-month average volume of 710.67 thousand shares.

Stock performance in the last month – up 2.90%; previous three-month period – up 7.51%; past twelve-month period – up 42.83%; and year-to-date – up 5.78%

After yesterday's close, Harris' market cap was at $18.06 billion.

Price to Earnings (P/E) ratio was at 28.89.

The stock has a dividend yield of 1.52%.

The stock is part of the Technology sector, categorized under the Communication Equipment industry.

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