Tuesday, February 9, 2016

PALLID EARNINGS

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As we pointed out recently cost cutting is the new meme in corporate suits. Not new by any means especially in times like these, it's a part smoke and mirrors tactic to dress up the blemishes. Here's an example from  247wallst.com/consumer-products/2016/02/09/coca-cola-earnings-top-estimates-on-cost-cutting

Coca-Cola Co. (NYSE: KO) reported fourth-quarter and full-year 2015 results before markets opened Tuesday. For the quarter, the soft-drink maker posted adjusted diluted earnings per share (EPS) of $0.38 on revenues of $10 billion. In the same period a year ago, the company reported EPS of $0.44 on revenues of $10.9 billion. Fourth-quarter results also compare to the Thomson Reuters consensus estimates for EPS of $0.37 and $9.91 billion in revenues.

For the full year, Coca-Cola posted EPS of $2.00 and revenues of $44.29 billion, compared with 2014 EPS of $2.04 and revenues of $46 billion. Analysts were looking for EPS of $1.99 and revenues of $44.36 billion.

You can expect more of these Wall Street gems as earnings continue to show their pallid faces. Coke has its problems to be sure and the latest commercial about the attractiveness of small containers tells you about one. The strong dollar is another.

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