Corn Products International, Inc. (NASDAQ:CPO) reported higher profit for the second quarter as revenue showed growth. Corn Products International, Inc. together with its subsidiaries manufactures and sells a number of ingredients to a variety of food and industrial customers.
Corn Products International Earnings Cheat Sheet for the Second Quarter
Results: Net income for the processed and packaged goods company rose to $79.3 million ($1.01 per share) vs. $36.8 million (48 cents per share) in the same quarter a year earlier. This is a more than twofold rise from the year earlier quarter.
Revenue: Rose 58% to $1.58 billion from the year earlier quarter.
Actual vs. Wall St. Expectations: CPO reported adjusted net income of $1.10 per share. By that measure, the company fell short of mean estimate of $1.13 per share. It beat the average revenue estimate of $1.52 billion.
Quoting Management: “Corn Products delivered a very good second quarter and first half of 2011,” said Ilene Gordon, Chairman, President and Chief Executive Officer. “As expected volumes were relatively stable as customers and consumers continue to deal with economic challenges in various markets. Our pricing remains strong as we manage through rising input costs. We also successfully completed a sizable maintenance project at our largest facility and continue the integration of National Starch. We remain on-plan and are managing our business through a volatile marketplace while maintaining a sharp focus on executing our strategy.”
Last quarter marked the fifth consecutive quarter of gross margins expanding as the company’s gross margin expanded 0.8 percentage point to 17.2% from the year earlier quarter. Over that span, margins have grown on average 2.3 percentage points per quarter on a year-over-year basis.
Revenue has risen the past four quarters. Revenue increased 55.7% to $1.46 billion in the first quarter. The figure rose 46.8% in the fourth quarter of the last fiscal year from the year earlier and climbed 5% in the third quarter of the last fiscal year from the year-ago quarter.
The company fell short of forecasts after beating estimates in the previous two quarters. In the first quarter, it topped the mark by 36 cents, and in the fourth quarter of the last fiscal year, it was ahead by 32 cents.
(Source: Xignite Financials)