Harris Beats By Three Cents

Today is a big earnings day for us. AFLAC ($AFL) and CR Bard ($BCR) report after the close. This morning, Harris Corp ($HRS) reported earnings of $1.22 per share which was three cents better than estimates. The December quarter is the second quarter of Harris’ fiscal year.

“Harris posted solid second quarter results with earnings per share in line with the prior year, despite orders and revenue being dampened by the constrained government spending environment,” said William M. Brown, president and chief executive officer. “The sequential increase in operating income for the company, driven by operating margin improvement in all of our segments, was encouraging. Cash flow from operations increased significantly compared to the previous quarter and the prior year, supporting expectations for strong cash flow again this year.”

This is a good earnings report from Harris. The only sour note, and it’s not a biggie, was the company’s revenue guidance for the entire year. Harris now sees revenues ranging between $6 billion and $6.2 billion. Wall Street had been expecting slightly more, $6.15 billion to $6.3 billion.

On the plus side, Harris sees full-year EPS ranging between $5.10 and $5.30. That’s not bad at all. The Street had been expecting $5.07 per share. The stock is up nicely today. It’s currently over $40 per share which is still less than eight times this year’s earnings.

Posted by on January 31st, 2012 at 10:47 am

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