Earnings - 24th June 2008

5:04PM Sonic misses by $0.03, misses on revs; guides FY08 EPS below consensus (SONC) 16.51 +0.22 : Reports Q3 (May) earnings of $0.28 per share, $0.03 worse than the First Call consensus of $0.31; revenues rose 1.5% year/year to $213 mln vs the $220 mln consensus. Co issues downside guidance for FY08, sees EPS growth of 4-6%, which equates to ~$1.00-1.02 vs. $1.05 consensus.

4:44PM Darden Restaurants beats by $0.03, reports revs in-line; guides FY09 EPS in-line, revs above consensus (DRI) 31.60 +0.95 : Reports Q4 (May) earnings of $0.78 per share, excluding non-recurring items, $0.03 better than the First Call consensus of $0.75; revenues rose 25.1% year/year to $1.83 bln vs the $1.82 bln consensus. Co issues in-line guidance for FY09, sees EPS growth of 9-10%, excluding items, which equates to ~$2.98-3.01 vs. $2.99 consensus; sees FY09 revs growth of 14-15%, which equate as ~$7.56-7.62 bln vs. $7.39 bln consensus.

4:07PM Silicon Labs raises Q2 EPS and revs guidance (SLAB) 35.84 +0.02 : Co sees Q2 EPS of $0.40-0.42, up from $0.37-0.39 vs $0.38 First Call consensus; revs $102-104 mln, up from $98-101 mln vs $100.00 mln First Call consensus. Co cites stronger than expected demand, particularly in the voice and embedded modem businesses. The guidance revision was provided as an update concurrent with the announcement of the acquisition of Integration Associates, also made today.

4:06PM 3Com beats by $0.04, beats on revs (COMS) 2.37 -0.02 : Reports Q4 (May) earnings of $0.09 per share, excluding non-recurring items, $0.04 better than the First Call consensus of $0.05; revenues rose 3.3% year/year to $321.3 mln vs the $315.3 mln consensus.

4:05PM AeroVironment beats by $0.03, beats on revs; guides FY09 revs in-line (AVAV) 25.01 +0.24 : Reports Q4 (Apr) earnings of $0.30 per share, $0.03 better than the First Call consensus of $0.27; revenues rose 26.8% year/year to $64.3 mln vs the $59.3 mln consensus. Co issues in-line guidance for FY09, sees FY09 revs growth of 20-25%, which equates to ~$258.9-269.7 mln vs. $259.44 mln consensus.

4:04PM Jabil Circuit beats by $0.06, reports revs in-line; guides Q4 EPS in-line, guides Q4 revs (JBL) 14.29 +0.05 : Reports Q3 (May) earnings of $0.26 per share, excluding non-recurring items, $0.06 better than the First Call consensus of $0.20; revenues rose 2.9% year/year to $3.09 bln vs the $3.08 bln consensus. Co issues guidance for Q4, sees EPS of $0.29-0.33, excluding non-recurring items, vs. $0.29 consensus; sees Q4 revs of $3.2-3.3 bln vs. $3.19 bln consensus.

4:03PM L-1 Identity Solutions reaffirms Q2 EPS guidance of $0.04 vs $0.03 consensus; revs $140-145 mln vs $138.34 mln consensus (ID) 13.19 -0.25 : Co reaffirms Q2 EPS guidance of $0.04 vs $0.03 First Call consensus; revs $140-145 mln vs $138.34 mln First Call consensus. Sees Adjusted EBITDA at the top end of the range at approximately $22.0 mln (consensus $19.9 mln). "Regarding the Digimarc transaction and the recently announced unsolicited offer from Safran, we are assessing our options. However, I want to reassure our investors that the merger agreement is still intact and that we will use all of our resources in Washington, within the Department of Defense, Department of Homeland Security and the State and Local Governments to prevent sensitive data and information of our citizens from falling into the hands of a foreign entity, particularly one that is 30 percent owned and controlled by the French Government."

8:51AM Reliance Steel guides Q2 EPS above prior guidance and consensus; sees Q2 EPS of $2.00-2.10 vs $1.64 consensus (RS) 73.48 : Co said, "Because the prices for carbon steel products have increased more significantly and more rapidly than we had anticipated and because we have been successful in expanding our gross profit margins more than anticipated in the current environment, we have increased our earnings guidance."

8:33AM Kroger beats by $0.03; raises low end of FY09 EPS guidance; raises same store sales guidance (KR) 26.00 : Reports Q1 (Apr) earnings of $0.58 per share, $0.03 better than the First Call consensus of $0.55; revenues rose 11.5% year/year to $23.11 bln vs the $22.32 bln consensus. Co issues in-line guidance for FY09, sees EPS of $1.85-1.90 vs. $1.90 consensus, prior guidance $1.83-1.90. Company raised its identical sales and earnings guidance for fiscal 2008. Based on the strength of its first quarter results, Kroger now expects identical sales growth of 4.0% to 5.5%, excluding fuel, for fiscal 2008. Previous guidance was 3.0% to 5.0%.

8:33AM ConAgra Q4 EPS to be higher than planned (CAG) 22.22 : Co sees Q4 EPS to be higher than the co's original EPS estimate of $0.30-0.35, ex-items, vs $0.36 consensus. The higher-than-planned EPS primarily reflects very strong Trading & Merchandising profits, which are now classified within discontinued operations. The co is also pleased with the overall performance of the Food & Ingredients segment, as well as improved execution with regard to pricing in the Consumer Foods segment.

7:03AM Centurytel announces increased dividend and acceleration of share repurchase program; expects to meet or exceed its previously announced Q2 operating revs and diluted EPS guidance of $647-$657 mln and $0.78-$0.82 (CTL) 31.25 : Co announces that its Board of Directors determined to: 1) increase it's annual cash dividend to $2.80 from $.27 per share; 2) declare a one-time dividend of $.6325 per share, payable on July 21, 2008, to shareholders of record on July 7, 2008, effectively adjusting the total second quarter dividend to the new $.70 quarterly dividend rate; 3) utilize future share buybacks to target net debt at 2.75 times operating cash flow; 4) accelerate purchases under the current $750 mln share repurchase program to complete the remaining balance of approximately $385 mln by year end 2008 or early 2009, which is expected to increase the co's ratio of net debt to operating cash flow; and 5) continue to distribute substantially all of CenturyTel's free cash flow to shareholders. The co also expects to meet or exceed its previously announced Q2 operating revs and diluted EPS, excluding nonrecurring items, of $647 to $657 mln (consensus of $652.7 mln) and $0.78-$0.82 (vs $0.80 consensus), respectively.