Earnings Scorecard: Visa Wins, Diodes Fades, FMC Falls

Visa Inc. (NYSE:V) reported its results for the first quarter. Net income for the business services company rose to $1.03 billion ($1.49 per share) vs. $884 million ($1.23 per share) in the same quarter a year earlier. This marks a rise of 16.4% from the year earlier quarter. Revenue rose 13.8% to $2.55 billion from the year earlier quarter. Visa Inc. beat the mean analyst estimate of $1.46 per share. It beat the average revenue estimate of $2.47 billion.

“Visa’s core businesses drove a strong start to fiscal 2012. We achieved solid financial and operational performance as we continued to benefit from the secular shift to electronic payments. Consumers’ desire to use our products is evident in the strong growth we see outside the U.S. and the resiliency we are seeing in the U.S. in the wake of debit regulation,” said Joe Saunders, chairman and chief executive officer. “We are in the midst of executing on our strategy to address the new landscape in the United States and we are pleased with the early results of our efforts.”

Competitors to Watch: MasterCard Incorporated (NYSE:MA), Fidelity National Information Services (NYSE:FIS), American Express Company (NYSE:AXP), Discover Financial Services (NYSE:DFS), Green Dot Corporation (NYSE:GDOT), NetSpend Holdings Inc (NASDAQ:NTSP), CompuCredit Holdings Corp (NASDAQ:CCRT), Alliance Data Systems Corp. (NYSE:ADS), Fiserv, Inc. (NASDAQ:FISV), Citigroup (NYSE:C), Bank of America (NYSE:BAC), JP Morgan Chase (NYSE:JPM) and MoneyGram Intl., Inc. (NYSE:MGI).

Diodes Incorporated (NASDAQ:DIOD) reported its results for the fourth quarter. Net income for Diodes Incorporated fell to $3.1 million (7 cents per share) vs. $24 million (52 cents per share) a year earlier. This is a decline of 87% from the year earlier quarter. Revenue fell 12.5% to $143.3 million from the year earlier quarter. Diodes Incorporated reported adjusted net income of 9 cents per share. By that measure, the company beat the mean estimate of 8 cents per share. It fell short of the average revenue estimate of $147.1 million.

Commenting on the results, Dr. Keh-Shew Lu, President and Chief Executive Officer of Diodes Incorporated, stated, “I am very pleased to report that Diodes continued its growth during 2011 and achieved record revenue for the full year despite ongoing uncertainty in the global economy. This year also represented our 21st consecutive year of profitability, which underscores the success of our profitable growth strategy. The broad market weakness that began in late second quarter continued to impact all of our market segments throughout the fourth quarter, but past design win momentum and new product initiatives enabled further market share gains. Although productivity and manufacturing efficiencies in our Shanghai facility have recovered to prior levels, gross margin continues to be negatively impacted by the effects of the market softness, including increased pricing pressure, continued sales of lower margin commodity products and less than maximum utilization of manufacturing capacity, despite the increase in our finished goods inventory in advance of the Chinese New Year.”

Competitors to Watch: ON Semiconductor Corp. (NASDAQ:ONNN), Fairchild Semicond. Intl. (NYSE:FCS), Alpha and Omega Semicond. Ltd (NASDAQ:AOSL), Microsemi Corporation (NASDAQ:MSCC), Vishay Intertechnology (NYSE:VSH), IXYS Corporation (NASDAQ:IXYS), Texas Instruments Inc. (NYSE:TXN), Intl. Rectifier Corp. (NYSE:IRF), Infineon Tech. AG (IFNNY), and National Semicond. Corp. (NYSE:NSM).

FMC Corporation (NYSE:FMC) reported its results for the fourth quarter. Reported a profit of $81.7 million ($1.10 per diluted share) in the quarter. The chemicals company had a net loss of $53.5 million or a loss of 74 cents per share in the year earlier quarter. Revenue rose 12.1% to $908.6 million from the year earlier quarter. FMC Corporation reported adjusted net income of $1.58 per share. By that measure, the company beat the mean estimate of $1.38 per share. It beat the average revenue estimate of $883.2 million.

Pierre Brondeau, FMC president, chief executive officer and chairman, said, “Our fourth quarter results provided a strong finish to a year of remarkable accomplishment for FMC. We achieved record financial performance in 2011 and made great progress implementing our Vision 2015 strategic plan.”

Competitors to Watch: E.I. du Pont de Nemours & Co. (NYSE:DD), The Dow Chemical Company (NYSE:DOW), Eastman Chemical Company (NYSE:EMN), Rockwood Holdings, Inc. (NYSE:ROC), PPG Industries, Inc. (NYSE:PPG), Ashland Inc. (NYSE:ASH), Monsanto Company (NYSE:MON), Sociedad Quimica y Minera (NYSE:SQM), and Minerals Technologies Inc (NYSE:MTX).

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com