Earnings - 10th Feb 2009

5:02PM Hanger Orthopedic beats by $0.03, beats on revs; guides FY09 EPS in-line, revs in-line (HGR) 13.61 +0.04 : Reports Q4 (Dec) earnings of $0.26 per share, excluding non-recurring items, $0.03 better than the First Call consensus of $0.23; revenues rose 8.6% year/year to $185.5 mln vs the $179.9 mln consensus. Co issues in-line guidance for FY09, sees EPS of $0.96-0.98, excluding non-recurring items, vs. $0.97 consensus; sees FY09 revs of $750-760 mln vs. $756.50 mln consensus.

4:38PM CF Industries beats by $1.76, beats on revs (CF) 53.60 +0.16 : Reports Q4 (Dec) earnings of $3.87 per share, excluding a $0.70 non-recurring charge and $0.42 gain, $1.76 better than the First Call consensus of $2.11; revenues rose 25.5% year/year to $1.07 bln vs the $0.89 bln consensus. Nitrogen segment net sales totaled $705.6 mln, up 12% from $630.7 mln in Q4 2007. Volume for the 2008 Q4 was 1.48 mln tons, down substantially from 1.93 mln tons in the year-earlier quarter. Average selling prices for the segment's nitrogen products were significantly higher than in Q4 2007. For ammonia, the average selling price was $653 per ton, up from $410 in Q4 2007 and $571 in 2008's Q3. For urea, the price was $480 per ton, up from $357 in the year-earlier quarter but down from $596 in third quarter 2008. For urea ammonium nitrate (UAN) solution, the price was $352 per ton, up from $239 in Q4 2007 and from $339 in Q3 2008. The phosphate segment's net sales were $366.4 mln, a 65% increase from fourth quarter 2007 levels. Volume was 404,000 tons, down 23% from 526,000 tons in the year-earlier quarter. Average selling prices for phosphate products were more than twice Q4 2007 levels, reflecting the strong price increases seen throughout much of 2008. For diammonium phosphate (DAP), the price was $906 per ton, up from $420 per ton in the year-earlier quarter but down modestly from $943 per ton in Q3 2008. For monoammonium phosphate (MAP), the average selling price was $903 per ton, compared to $431 per ton in Q4 2007 and up from $771 per ton in 2008's third quarter. Co says, "Long-term fundamentals remain strong, but high inventories in the fertilizer supply chain and uncertainty over crop acreage could negatively affect performance heading into the spring planting season."

4:13PM NetSuite beats by $0.02, reports revs in-line (N) 7.91 +0.02 : Reports Q4 (Dec) earnings of $0.01 per share, excluding non-recurring items, $0.02 better than the First Call consensus of ($0.01); revenues rose 30.5% year/year to $41.4 mln vs the $41.6 mln consensus. Co said, "I'm delighted that NetSuite delivered one of our best quarters to date in what has been a very difficult economic environment. I am especially excited that we posted the first non-GAAP profitable quarter in the Company's history even against the headwinds of global economic challenges".

4:10PM V.F. Corp beats by $0.03, misses on revs; guides Q1 EPS below consensus (VFC) 54.34 -2.73 : Reports Q4 (Dec) earnings of $1.05 per share, excluding non-recurring items, $0.03 better than the First Call consensus of $1.02; revenues fell 2.1% year/year to $1.89 bln vs the $1.92 bln consensus. Co issues downside guidance for Q1, sees EPS of $1.10-1.15, excluding non-recurring items, vs. $1.23 consensus. Co issues guidance for FY09, sees EPS of $5.42, includes charges, may not be comparable to $5.55 consensus. Co anticipate a low to mid single digit decline in revenues, with a 3 to 4% negative impact from foreign currency translation. Co says, "The first quarter is expected to be especially challenging, with revenues expected to be down by 5 to 7%, with a 4% impact from foreign currency translation."

4:05PM Cerner beats by $0.04, beats on revs; guides Q1 EPS in-line, revs in-line; guides FY09 EPS in-line, revs in-line (CERN) 36.13 -0.49 : Reports Q4 (Dec) earnings of $0.65 per share, excluding non-recurring items, $0.04 better than the First Call consensus of $0.61; revenues rose 18.1% year/year to $465.7 mln vs the $444.9 mln consensus. Co issuesin-line guidance for Q1, sees EPS of $0.48-0.54, excluding non-recurring items, vs. $0.54 consensus; sees Q1 revs of $410-430 mln vs. $424.29 mln consensus. Co issues in-line guidance for FY09, sees EPS of $2.40-2.50, excluding non-recurring items, vs. $2.48 consensus; sees FY09 revs of $1.75-1.80 bln vs. $1.79 bln consensus. Co said, "The large size and geographic diversity of our client base and the deep strategic relationships with those clients contributed to our ability to deliver solid results in a difficult environment. Cerner also benefits from a depth and breadth of solutions and services that help healthcare providers address the increasing complexity of delivering safe, efficient, and high-quality care. As a result, while the financial crisis may continue to have some impact on healthcare, we are cautiously optimistic that we will continue to generate solid results. In addition, with the Obama administration focused on healthcare reform and recognizing healthcare IT as a necessary component of reform, Cerner is well positioned to play a role in the transformation of healthcare envisioned in those initiatives".

8:05AM Monsanto reaffirms FY09 EPS of $4.40-$4.50 vs $4.69 First Call consensus; includes EPS growth in Q2 and Q3 to be in the 10-12% range (MON) : Co issuesreaffirms guidance for FY09, sees EPS of $4.40-$4.50 vs $4.69 First Call consensus. This includes expectations for EPS growth in Q2 and Q3 to both be in the 10-12% range. Co states, "The determined focus of Monsanto to successfully execute its industry-leading seeds and traits strategy is the key to helping the company achieve 20 percent-plus earnings growth and generate more than $1.8 bln in free cash for fiscal 2009. It also will more than offset any anticipated decline in the company's Roundup herbicide business over the next three years and move the company closer to reaching its goal of more than doubling its fiscal 2007 gross profit by 2012... The anticipated ongoing success of the company's seeds and traits businesses will more than offset the expected decline in its Roundup herbicide business to the $1.9 billion gross profit level by 2012... 2009 will likely be the peak of Roundup profitability, which is expected to be in the $2.4-$2.5 bln gross profit range as he expects current pricing based on added value to more than offset volume declines...'

7:38AM Terra Industries reports Q4 (Dec) results, beats on revs (TRA) 23.23 : Reports Q4 (Dec) earnings of $1.65 per share, including charges and gains, may not be comparable to the First Call consensus of $0.92; revenues rose 20.1% year/year to $683.5 mln vs the $544 mln consensus. Terra's forward purchase contracts at Dec. 31, 2008, fixed prices for about 29% of its next 12 months' natural gas needs at about $65.8 mln above the published forward market prices at that date. These forward positions hedge production costs primarily associated with product that Terra has sold and plans to ship in the 2009 first and second quarters. During the 2008 fourth quarter, Terra repurchased approximately 2.8 mln of its common shares under its share buyback program at an average price of $17.82 per share and a total cost of $50 mln. Co says, "Fundamentals appear to be improving for spring. Looking further ahead, if indeed planted corn acres are reduced this spring, it will likely cause corn inventories to slip lower, creating a stronger outlook for the 2009 second half and 2010 first half."

7:02AM Hercules Offshore beats by $0.16, beats on revs (HERO) 3.75 : Reports Q4 (Dec) earnings of $0.42 per share, excluding items, $0.16 better than the First Call consensus of $0.26; revenues rose 28.4% year/year to $313.5 mln vs the $299.2 mln consensus. "We have continued to experience a rapid decline in demand for our domestic drilling rigs due to the combined effects of the sharp decline in commodity prices, the reduced availability of credit in the wake of the global financial crisis, and the weak outlook for energy consumption over at least the short-term. We have responded aggressively by stacking a number of inland and domestic rigs. We have also reduced our overhead and operating costs in a focused and meaningful way. We will continue to be vigilant in managing our cost structure during this cyclical downturn. With the reduced level of activity, and other factors, we have also recognized a significant impairment charge to our goodwill and long-lived assets. These non-cash charges largely reflect the cyclical nature of our drilling related segments and take into account the significant decline in our equity market capitalization."

7:01AM Aecom Tech reports EPS in-line, misses on revs; guides FY09 EPS in-line (ACM) 27.30 : Reports Q1 (Dec) earnings of $0.38 per share, in-line with the First Call consensus of $0.38; revenues rose 34.6% year/year to $1.45 bln vs the $1.58 bln consensus. Co issues in-line guidance for FY09, sees EPS of $1.60-1.70 vs. $1.67 consensus.

3:14AM Skilled Healthcare beats by $0.01, reports revs in-line; guides FY09 EPS above consensus, revs above consensus (SKH) 8.78 : Reports Q4 (Dec) earnings of $0.28 per share, $0.01 better than the First Call consensus of $0.27; revenues rose 7.0% year/year to $189.8 mln vs the $191.1 mln consensus. Co issues upside guidance for FY09, sees EPS of $1.08-1.14 vs. $1.08 consensus; sees FY09 revs of $792.0-802.0 mln vs. $785.94 mln consensus.

1:10AM Vulcan Materials misses by $0.16, misses on revs (VMC) 49.29 : Reports Q4 (Dec) earnings of $0.14 per share, excluding non-recurring items, $0.16 worse than the First Call consensus of $0.30; revenues fell 6.3% year/year to $756.5 mln vs the $834.1 mln consensus. Asphalt earnings in Q4 were lower due mostly to lower sales volume. The average selling price for asphalt mix increased 27% from Q407, more than offsetting higher unit costs for raw materials. The average unit cost for purchased liquid asphalt increased 68% from Q407. The increase in the unit cost for liquid asphalt reduced net earnings by approx $0.12 per diluted share. Concrete earnings decreased from Q407 due to weaker demand and higher costs for key raw materials. Cement earnings were higher than Q407 due to the inclusion of the Florida Rock operations for the entire period in the current year. Full year aggregates pricing is expected to increase 6-8% from Q407. Full year aggregates shipments are expected to decline 5-10% from 2008 levels, excluding any incremental demand from the economic stimulus bill. The average selling price for asphalt mix in 2009 should increase from 2008 as lower-priced sales orders in the backlog are replaced with more recent higher-priced orders.Co expects capital spending in FY09 to be approx $200 mln, down from $401 mln spent in FY08.