Harris Corporation reported first-quarter fiscal 2018 (ended September 29, 2017) earnings of $1.38 per share, beating the Zacks Consensus Estimate of $1.35. Revenues in the quarter came in at $1,413 million, below the Zacks Consensus Estimate of $1,424.8 million.
Cost of product sales and services in the reported quarter was $898 million compared with $897 million in the prior-year quarter. Engineering, selling & administrative expenses totaled $243 million in the quarter under review compared with $277 million in the first quarter of fiscal 2017.
Segmental Performance
Revenues at the Communication Systems segment came in at $410 million in the quarter, down 5% due to lower International Tactical Communications volume.Segmental operating income was flat year over year at $118 million.
Revenues at the Space and Intelligence Systems unit were $466 million, up 3%. Results were aided by space superiority programs.Operating income for the segment was $87 million, up 10% on the back of higher volumes, impressive program performance and incremental pension income.
Revenues at the Electronic Systems unit inched up 1% to $540 million. Segmental operating income was $109 million, down 2%.
At the end of the first quarter of fiscal 2018, the company had cash and cash equivalents of $388 million compared with $284 million at the end of first-quarter fiscal 2017. Total long-term debt at the end of first-quarter fiscal 2018 was $3,395 million compared with $3,396 million at the end of fourth-quarter fiscal 2017.
FY18 View
The company’s projections for fiscal 2018 remain unchanged. It continues to expect fiscal 2018 earnings per share (on an adjusted basis) in the band of $5.85-$6.05 per share. The Zacks Consensus Estimate for fiscal 2018 earnings currently stands at $5.98 per share. Fiscal 2018 revenues are expected in the range of $6.02-6.14 billion, up 2-4% year over year. The Zacks Consensus Estimate for revenues in fiscal 2018 currently stands at $6.08 billion. The company anticipates free cash flow for fiscal 2018 in the band of $850-$900 million.
Zacks Rank & Other Key Picks
Harris currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks in the Computer and Technology sector are Sonus Networks, Inc. , Comtech Telecommunications Corp. (CMTL - Free Report) and Ubiquiti Networks, Inc. . You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Shares of Sonus Networks, Comtech Telecommunications and Ubiquiti Networks have rallied more than 44%, 100% and 19%, respectively in a year.
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Harris Corporation reported first-quarter fiscal 2018 (ended September 29, 2017) earnings of $1.38 per share, beating the Zacks Consensus Estimate of $1.35. Revenues in the quarter came in at $1,413 million, below the Zacks Consensus Estimate of $1,424.8 million.
Cost of product sales and services in the reported quarter was $898 million compared with $897 million in the prior-year quarter. Engineering, selling & administrative expenses totaled $243 million in the quarter under review compared with $277 million in the first quarter of fiscal 2017.
Segmental Performance
Revenues at the Communication Systems segment came in at $410 million in the quarter, down 5% due to lower International Tactical Communications volume.Segmental operating income was flat year over year at $118 million.
Revenues at the Space and Intelligence Systems unit were $466 million, up 3%. Results were aided by space superiority programs.Operating income for the segment was $87 million, up 10% on the back of higher volumes, impressive program performance and incremental pension income.
Revenues at the Electronic Systems unit inched up 1% to $540 million. Segmental operating income was $109 million, down 2%.
At the end of the first quarter of fiscal 2018, the company had cash and cash equivalents of $388 million compared with $284 million at the end of first-quarter fiscal 2017. Total long-term debt at the end of first-quarter fiscal 2018 was $3,395 million compared with $3,396 million at the end of fourth-quarter fiscal 2017.
FY18 View
The company’s projections for fiscal 2018 remain unchanged. It continues to expect fiscal 2018 earnings per share (on an adjusted basis) in the band of $5.85-$6.05 per share. The Zacks Consensus Estimate for fiscal 2018 earnings currently stands at $5.98 per share. Fiscal 2018 revenues are expected in the range of $6.02-6.14 billion, up 2-4% year over year. The Zacks Consensus Estimate for revenues in fiscal 2018 currently stands at $6.08 billion. The company anticipates free cash flow for fiscal 2018 in the band of $850-$900 million.
Zacks Rank & Other Key Picks
Harris currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks in the Computer and Technology sector are Sonus Networks, Inc. , Comtech Telecommunications Corp. (CMTL - Free Report) and Ubiquiti Networks, Inc. . You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Shares of Sonus Networks, Comtech Telecommunications and Ubiquiti Networks have rallied more than 44%, 100% and 19%, respectively in a year.
Wall Street’s Next Amazon
Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.
Click for details >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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