Comtech Telecom Q3 Revenues Miss Street, Cuts FY Outlook; Shares Down 8%
Shares of Comtech Telecommunications Corp. (CMTL) slipped nearly 8% in extended trading hours on Tuesday after the company’s third-quarter revenues fell short of expectations and lowered its full-year sales outlook.
Third-quarter net income was $792 thousand or $0.03 per share, compared to net loss of $4.0 million or $0.16 per share last year. Analysts polled by Thomson Reuters expected a loss of $0.01 per share.
Sales for the third quarter rose to $139.4 million from $135.1 million last year. Analysts had a consensus revenue estimate of $140.39 million.
Looking forward, Comtech expects fiscal 2021 sales to be in a range of $580.0 million to $590.0 million. Previously, the company expected sales of $610.0 million to $620.0 million.
The company said it updated its outlook to primarily reflect a change in anticipated revenues in its Government Solutions segment due to the U.S. government’s April 2021 announcement to fully withdraw troops from Afghanistan as well as other program changes.
CMTL closed Tuesday’s trading at $25.66, up $0.95 or 3.84%, on the Nasdaq. The stock, however, slipped $2.02 or 7.89%, in the after-hours trade.
In Bill Clinton and James Patterson’s Second Novel, an Ex-President Goes Rogue
By Sarah Lyall
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It is relatively easy to understand why a former president whose daughter is kidnapped by terrorists might want to organize his own unauthorized paramilitary force to rescue her. But try explaining it to the current president.
European Economics Preview: Germany Retail Sales Data Due
Retail sales from Germany and mortgage approvals from the UK are due on Wednesday, headlining a light day for the European economic news.
At 2.00 am ET, Destatis is scheduled to issue Germany’s retail sales data for April. Economists forecast sales to fall 2 percent on month, following March’s 7.7 percent increase.
At 3.00 am ET, Spain’s monthly unemployment data is due from labor ministry.
At 4.30 am ET, the Bank of England is set to issue UK mortgage approvals figures for April. Approvals are forecast to rise to 84,980 from 82,735 in the previous month.
At 5.00 am ET, Eurostat releases euro area producer prices for April. Producer price inflation is forecast to rise to 7.3 percent from 4.3 percent in March.
Opinion: Aaron Rodgers’ situation with Green Bay may look bleak, but Packers shouldn’t panic yet
Matt LaFleur chose his words carefully, and for good reason.
As the third-year head coach and the Green Bay Packers on Tuesday kicked off a three-day slate of offseason practices designated as mandatory minicamp, one of the most storied franchises in NFL history remained in a standoff with its star quarterback.
A week after LaFleur expressed hope that Aaron Rodgers and management would have resolved their differences so the quarterback could return to the field, Rodgers remained away from team headquarters. In his stead, second-year project Jordan Love directed the offense.
Well-aware that management's poor communication — along with public humiliation after the blind-side drafting of Love a year ago — brought the Packers to this precarious juncture, LaFleur has done his part to ensure a potential resolution could play out behind closed doors. The coach on Tuesday conveyed his confidence in Rodgers and the kind of unflappable leadership that Green Bay desperately needs right now.
Sherwin-Williams Lifts Q2, FY21 Outlook
Sherwin-Williams Co. (SHW) Tuesday increased its sales guidance for the second quarter and also lifted its sales and profit outlook for the full year 2021.
Looking forward to the second quarter, the company now expects sales to be up a high-teens percentage over second quarter last year, compared to prior estimate of mid to high-teens percentage.
Analyst polled by Thomson Reuters currently expect sales growth 14.50% for the second quarter.
For the full year, the company now expects sales to be up a high-single to low-double-digit percentage and adjusted earnings of $9.15 to $9.45 per share. Previously, the company expected sales growth of mid to high-single-digit percentage and adjusted earnings of $8.80 to $9.07 per share.
Analysts currently estimate earnings of $9.32 per share on revenues growth of 8.20% for the year.
“We outperformed expectations in the first quarter, and sales in The Americas Group and Performance Coatings Group have been stronger than expected in the second quarter,” said Chairman, President and Chief Executive Officer, John Morikis.
“Demand remains strong in our architectural end markets, led by residential repaint and new residential, with continued improvement in commercial and property management. Demand is also strong on the industrial side of our business and is recovering faster than expected. At the same time, the raw material inflation we experienced in the first quarter has continued in the second quarter.”
UiPath Down 9% After Reporting Q1 Results
Shares of UiPath Inc. (PATH) slipped over 9% in the extended session Tuesday after the company reported its first quarterly results as a public company.
The company reported a first-quarter loss of $239.7 million or $1.11 per share, wider than last year’s loss of $52.8 million, or $0.33 per share. Adjusted earning for the quarter was $0.02 per share, compared to a loss of $0.09 per share in the year-ago period.
Revenue rose to $186.2 million from $113.1 million in the year-ago quarter. The company’s annualized renewal run rate, or ARR, rose 64% to $652.6 million from a year ago.
“We had an exceptionally strong start to fiscal year 2022 with first quarter ARR growing 64 percent year-over-year to $653 million, a testament to our leadership position in enterprise software automation,” commented Daniel Dines, UiPath Co-Founder and Chief Executive Officer.
Looking forward to the second quarter, UiPath forecast revenue of $180 million to $185 million and ARR of $702 million to $704 million. For the year, UiPath forecast ARR between $850 million and $855 million.
UiPath raised nearly $1.3 billion in its initial public offering in April.
PATH closed Tuesday’s trading at $76.00, up $2.12 or 2.87%, on the NASDAQ. The stock, however, slipped $6.85 or 9.01%, in the after-hours trading.