NCR 1Q Loss Widens On Pension Costs, Sees Improved Backlog
23 April 2010 - 7:01AM
Dow Jones News
NCR Corp.'s (NCR) first-quarter loss widened as the company
continued to plow funds into its struggling pension program, though
it posted a robust order backlog and reiterated its full-year
forecast.
NCR, known best as a maker of automated teller machines and cash
registers, struggled during the recession, as its main bank and
retail clients cut back on expenditures. But the Duluth, Ga.,
company, which also sells airport check-in machines and DVD rental
kiosks under the Blockbuster Express brand, suggested some stress
may be easing as it saw an 18% increase in orders.
Shares of NCR were flat, at $15.93 in after-hours trading, after
closing up nearly 4%. The stock is up 43% so far this year.
NCR reported a loss of $19 million, or 12 cents a share,
compared with a loss of $15 million, or 9 cents a share, a year
earlier. Excluding pension and relocation charges, NCR posted
first-quarter earnings of 15 cents a share.
Revenue edged up 2%, to $1.03 billion, with the
Asia-Pacific-Japan region boasting 24% growth.
Analysts polled by Thomson Reuters most recently forecast a loss
of 8 cents and $1.04 billion in revenue.
The company reiterated its full-year non-GAAP earnings forecast,
saying it expects per-share earnings of $1.35 to $1.45. NCR also
said it still expects revenue growth of 2% to 5% on a constant
currency basis, but the company cut its full-year per-share
earnings forecast by 2 cents, saying it now expects a range of 39
cents to 49 cents.
NCR said it will rebalance the assets in its pension, shifting
entirely to fixed income by the end of 2012. The company's pension
plan was underfunded by about $1 billion at the end of 2009. The
company backed its forecast of contributing $110 million to the
pension plan this year.
-By Melissa Korn, Dow Jones Newswires; 212-416-2271;
melissa.korn@dowjones.com
Blockbuster (NYSE:BBI)
Historical Stock Chart
From Apr 2024 to May 2024
Blockbuster (NYSE:BBI)
Historical Stock Chart
From May 2023 to May 2024