27 Apr Rockwell Q2 operations net income soars, shares plunge
Income from continuing operations at Milwaukee-based Rockwell Automation Inc. for the quarter ended March 31 rose to $142.5 million, a 90 percent leap from the $74.9 million the company earned the same quarter of 2004.
Profit for the second quarter of 2005, including discontinued operations, was an even $150 million, compared to $78.3 million a year ago.
Despite that, Rockwell shares fell off the table, dropping more than $10 per share Tuesday and Wednesday from Monday’s close price of $56.38. Wall Street, on average, expected the provider of industrial services to earn 66 cents a share. Results included $19.7 million, or 10 cents per share, of tax benefits related to the resolution of federal income tax matters. That put actual earnings at 65 cents a share.
Sales at Rockwell, a global provider of industrial automation power, control and information solutions, for the second quarter were $1.2 billion, up 13 percent over a year ago.
The company continues to expect organic revenue growth of about 10 percent, excluding currency translation, and earnings per share of $2.55 to $2.65, excluding separately reported tax benefits.