Isle of Capri swings to quarterly income (6:44 PM ET) SAN FRANCISCO (MarketWatch) -- Isle of Capri Casinos Inc.Thursday evening said it swung to second-quarter net income, as the company recorded a pretax gain of $13.8 million on property sales, of $3.39 million, or 11 cents a share. During the same period in the prior year, the net loss was $4.22 million, or 14 cents a share. Isle of Capri said quarterly revenue rose to $243.2 million from $210 million in the prior year.
Progress Software to file restatement by Dec. 15 (5:22 PM ET) SAN FRANCISCO (MarketWatch) -- Progress Software Corp. /zigman2/quotes/205828109/composite PRGS -1.47% after Thursday's closing bell said it plans to file its restated financial results by Dec. 15. The Bedford, Mass.-based maker of application infrastructure software also said it expects to maintain its conditional listing on the Nasdaq until at least Dec. 15.
Axcan Pharma quarterly income falls (5:16 PM ET) SAN FRANCISCO (MarketWatch) -- Axcan Pharma Inc.after Thursday's closing bell said fourth-quarter net income fell, as research and development expenses rose, to $8.27 million, or 17 cents a share, from $9.15 million, or 19 cents a share, during the same period in the prior year. Analysts polled by Thomson First Call had expected per-share income of 19 cents. Axcan said quarterly revenue rose to $72.3 million from $67 million in the prior year, while analysts had expected $68 million.
Yum Brands outlines 2007 earnings, revenue expectations (5:15 PM ET) SAN FRANCISCO (MarketWatch) -- Yum Brands Inc. /zigman2/quotes/209029767/composite YUM +7.64% after Thursday's closing bell said it expects 2007 per-share earnings growth of at least 10%. On a worldwide basis, the Louisville, Ky.-based restaurant company said it expects system-sales growth and revenue growth of 5% to 6%, led by 20% growth in mainland China. U.S. system-sales growth is projected to be 3%, while revenue is expected to be down 5% to 6%. Re-franchising company restaurants in 2006 and 2007 is expected to negatively impact U.S. revenue growth by 7 to 8 percentage points, the company said. Yum also said it expects to open at least 1,500 new system restaurants worldwide in 2007, including 400 new China division restaurants. The U.S. restaurant base is expected to decrease slightly vs. 2006, Yum noted. The company also forecast closure and impairment charges of $45 million to $55 million, and capital expenditures of $650 million, for the period.
Semtech quarterly revenue rises; delays income on options (5:01 PM ET) SAN FRANCISCO (MarketWatch) -- Semtech Corp. /zigman2/quotes/206723451/composite SMTC -0.62% after Thursday's closing bell said third-quarter sales rose to $63.7 million from $60.9 million during the same period in the prior year. Wall Street had expected $64 million. The chip supplier said fourth quarter revenue will fall 6% to 8% from the prior quarter's level. Semtech did not report quarterly income, and it is delaying filing its results, because it must restate prior financial results to record additional compensation expenses for incorrectly dated stock-option grants. Semtech has been reviewing its option practices in light of an informal inquiry from the Securities and Exchange Commission, and a federal grand jury subpoena.
OmniVision quarterly income falls (4:48 PM ET) SAN FRANCISCO (MarketWatch) -- OmniVision Technologies Inc.after Thursday's closing bell said second-quarter net income fell, as the company recorded items such as litigation settlement expenses, to $5.42 million, or 10 cents a share, from $22.6 million, or 41 cents a share, during the same period in the prior year. Before items, quarterly per-share income was 28 cents. Wall Street was looking for earnings per share of 30 cents. The semiconductor image sensor designer said quarterly revenue rose to $137.7 million from $126.8 million in the prior year, while analysts polled by Thomson First Call had expected $140 million. For the third quarter, OmniVision sees revenue of $135 million to $145 million, and earnings of 5 cents to 12 cents per share, or 16 cents to 23 cents before items. Analysts are looking for quarterly revenue of $147 million, and earnings per share of 33 cents. Also Thursday, the company said Chief Operating Officer James He has joined the board.
Catalyst Semiconductor quarterly profit falls; OKs buyback (4:37 PM ET) SAN FRANCISCO (MarketWatch) -- Catalyst Semiconductor Inc. /zigman2/quotes/200309057/composite CATS -2.23% after Thursday's closing bell reported second-quarter net earnings of $176,000, or a penny a share, down from $927,000, or 5 cents a share, during the year-ago period. The Santa Clara, Calif.-based chip company posted revenue of $16.3 million vs. $16.9 million. Gross margin for quarter was 35.5%, compared with 38% a year ago. Catalyst said it was encouraged to see that its product margins increased over the previous quarter, particularly in the memory product lines. Additionally, the company said it has authorized the buyback of an additional 1 million shares.
Cheesecake Factory posts two quarters worth of earnings (4:36 PM ET) SAN FRANCISCO (MarketWatch) -- Cheesecake Factory Inc. /zigman2/quotes/207909209/composite CAKE +10.88% after Thursday's closing bell posted a fiscal second-quarter profit that was basically flat compared with the same period a year earlier and third-quarter earnings that fell from the same quarter of 2005. It had delayed the release of its second-quarter results pending the completion of an internal review of its stock options-granting practices. The Calabasas Hills, Calif.-based restaurant chain said it made $23.4 million, or 30 cents a share, on revenue of $322.6 million in the period ended July 4, vs. restated earnings of $23.1 million, or 29 cents a share, on revenue of $288.5 million the year before. Sales at restaurants open at least a year were down 0.8%. For the third quarter, the company reported net earnings of $18.1 million, or 23 cents a share, compared with a restated profit of $21.7 million, or 28 cents a share, last year. Revenue rose to $325.3 million from $294 million, while same-restaurant sales fell 1.6%. Same-restaurant sales to date in the fourth quarter are flat to slightly positive, it said.
McData Corp. reports $26.3 million loss (4:35 PM ET) SAN FRANCISCO (MarketWatch) -- McData Corp.on Thursday reported a fiscal third-quarter loss of $26.3 million, or 17 cents a share, compared to $20.5 million, or 13 cents a share a year ago. The storage-networking technology company said revenue fell by 7.4% to $156.1 million from $168.5 in the year-ago quarter. Excluding charges and one-time items, McData would have lost $4.3 milion or 3 cents a share, while analysts surveyed by Thomson First Call had forecast the company to earn a penny a share on $157 million in revenue.
H&R Block quarterly loss widens on mortgage market weakness (4:31 PM ET) SAN FRANCISCO (MarketWatch) -- H&R Block Inc. /zigman2/quotes/207406664/composite HRB +3.85% after Thursday's closing bell reported a fiscal second-quarter net loss of $156.5 million, or 49 cents a share, compared with a net loss of $81.2 million, or 25 cents a share, during the year-ago period, as weakness in the mortgage industry drove a larger loss. The Kansas City, Mo.-based financial services provider posted total revenue of $563.2 million vs. $605 million. Analysts polled by Thomson First Call had forecast a second-quarter loss of 32 cents a share on revenue of $582 million. H&R Block said it continues to expect fiscal 2007 earnings of $1.20 to $1.45 a share, a previously announced range that reflects the less favorable conditions in the mortgage market. The company also said it expects to determine its course of action for Option One in the first quarter of calendar 2007. Due to the seasonality of its tax services business segment, H&R Block normally reports an operating loss for its fiscal first and second quarters, the company noted.
McData quarterly loss widens; revenue declines (4:30 PM ET) SAN FRANCISCO (MarketWatch) -- McData Corp.after Thursday's closing bell said the third-quarter net loss widened, as costs rose and revenue fell, to $26.3 million, or 17 cents a share, from a net loss of $7.48 million, or 5 cents a share, during the same period in the prior year. Before items, the company swung to a per-share loss of 3 cents. In the prior year, pro forma per-share income was 2 cents. Analysts polled by Thomson First Call had expected per-share income of a penny. The provider of data access solutions said quarterly revenue fell to $156.1 million from $168.5 million in the prior year, while Wall Street had expected $157 million.
Finisar quarterly revenue up; delays income on options probe (4:11 PM ET) SAN FRANCISCO (MarketWatch) -- Finisar Corp.after Thursday's closing bell said fiscal second-quarter revenue rose to $108.2 million from $86.6 million during the same period in the prior year, while Wall Street had expected $110 million. The company is not announcing quarterly income, and will delay filing results, due to a review of its historical option grants. The fiber optic solutions company said it is likely that the measurement dates for certain stock-option grants differed from the recorded grant dates, and the company will likely need to restate its historical results to record charges for compensation expense relating to the grants.
Embarcadero Tech finds evidence of options backdating (2:28 PM ET) SAN FRANCISCO (MarketWatch) -- Embarcadero Technologies Inc. /zigman2/quotes/203436752/delayed EMBT 0.00% said Thursday said its internal review of stock option grant practices has discovered evidence of backdating from 2000 to 2005. The San Francisco-based provider of data-management solutions said its audit committee has advised that it may need to restate its historical financial statements for the periods beginning on or after Jan. 1, 2000, through the present. The company said it plans to postpone the shareholder vote on its proposed merger with EMBT Merger Corp. until after the options review is completed. The vote was scheduled for today. Additionally, Embarcadero posted preliminary third-quarter revenue of $14.9 million, compared with $14.8 million during the year-ago period.
Hanmi Financial CEO says M&A valuations too high for now (12:07 PM ET) NEW YORK (MarketWatch) -- Hanmi Financial /zigman2/quotes/206308765/composite HAFC +9.55% CEO Sung Won Sohn said he's eying a possible acquisition in the New York City area, but for now valuations of banks are too high. "They're asking more than top dollar," said Sohn, who leads the largest Korean-American bank based in the U.S. The bank will continue its organic growth of about 15% a year and wait before buying. "When the economy softens, credit problems (at target acquisitions) will surface and the prices will come down." Sohn said he moved to head up the Los Angeles-based lender in January, 2005 after working for years as the chief economic officer of Wells Fargo Bank /zigman2/quotes/203790192/composite WFC +9.35% . "I was tired of watching the parade," he said in an interview with MarketWatch.
Financial stocks mixed as insurance sector gains (9:41 AM ET) NEW YORK (MarketWatch) -- Insurance stocks moved hiher, but banking and brokerage stocks edged down in mixed trading Thursday, as Wall Street kept an eye on a slew of same-store sales results. The S&P Insurance Indexrose 0.3%. The Amex Securities Broker Dealer Indexfell 0.3% and the Philadelphia Bank Indexretreated by 0.2%. H&R Blockfell 7 cents to $23.87 ahead of its earnings release after the closing bell.
Ross Stores same-store sales flat; affirms 4th-period view (9:01 AM ET) TEL AVIV (MarketWatch) -- Ross Stores Inc., /zigman2/quotes/202639496/composite ROST -0.0092% the Pleasanton, Calif., retailer, reported November comparable-store sales were flat while total sales rose 7% to $481 million from $451 million in the year-earlier month. The company also affirmed its fourth-quarter earnings estimates. A survey of analysts by Thomson First Call produced a consensus estimate of a 1.2% rise in same-store sales. "Although November same-store sales were slightly below our forecast for a 1% to 3% increase ... business strengthened during the latter half of the month," said Michael Balmuth, vice chairman, president and chief executive, said in a statement. Home and shoes remained the top sellers, the executive said. Ross affirmed its estimate that that same-store sales will increase 1% to 3% in both December and January, and that fiscal fourth-quarter earnings will range 59 cents to 65 cents. First Call is looking for 62 cents in the quarter.
CVS Nov. same-store sales rise 8.4% (8:56 AM ET) NEW YORK (MarketWatch) - CVS Corp. /zigman2/quotes/209664499/composite CVS +2.56% said Thursday its November sales at stores open at least one year rose 8.4%. Analysts, on average, had expected it to post a same-store-sales gain of 8%, according to Thomson First Call. Total revenue for the four weeks ended Nov. 25 rose 23.3% to $3.6 billion. Pharmacy same-store sales increased 9.4%, despite being hurt by recent generic introductions. Front-end same-store sales increased 6.1%.
Cardinal Health selling $1.8 bln unit, sets $1 bln buyback (8:47 AM ET) NEW YORK (MarketWatch) -- Cardinal Health Inc. /zigman2/quotes/206646342/composite CAH +1.96% on Thursday said it plans to sell its Pharmaceutical Technologies and Services business, which rang up $1.8 billion in sales last year. The unit manufactures or packages medication for pharmaceutical and biotech firms and employs approximately 10,000 at more than 30 facilities worldwide. In anticipation of the sale, the Dublin, Ohio company OK'd a $1 billion stock buyback program, bringing its total buyback authorization to $3 billion. Cardinal Health maintained its 2007 earnings outlook, but said its PTS unit would be treated as discontinued operations. Non-GAAP diluted earnings from continuing operations for fiscal 2007 are now expected to be in the range of $3.25 to $3.40 a share.
TJX same-store sales rise 3%; to close 34 A.J. Wright stores (8:46 AM ET) NEW YORK (MarketWatch) -- TJX Cos. /zigman2/quotes/203136811/composite TJX +1.03% said its November sales at stores open at least a year rose 3%. Analysts, on average, expected same-store sales to rise 3.8%, according to Thomson First Call. Total sales for the four weeks ended Nov. 25 gained 7% to $1.6 billion, the Framingham, Mass., retailer said. TJX said it will close 34 of its 162 A.J. Wright stores in January, resulting in a charge of 8 cents a share to fourth-quarter income. The company affirmed its outlook for fourth-quarter earnings from continuing operations at 48 cents to 50 cents a share.
Target sees Dec. same-store sales up 3.5%-5.5% (8:41 AM ET) NEW YORK (MarketWatch) - Target Corp. [s:TGT] on Thursday forecast a gain in December same-store sales, or sales at stores open at least one year, in a range of 3.5% to 5.5%. Earlier Thursday, it posted a 5.9% increase in November same-store sales.
Saks Inc. same-store sales rise 7.2% in November (8:39 AM ET) NEW YORK (MarketWatch) -- Sakssaid November same-store sales rose 7.2%, edging out the forecast for growth of 7% in a survey of analysts by Thomson First Call. Total sales fell 49.3% to $275 million.