Acco Brands 4Q earnings up more than sixfold

By Associated Press
Posted Feb. 9 at 3:58 p.m.

Lincolnshire-based Acco Brands Corp. said Wednesday that its earnings grew more than sixfold in the fourth quarter, benefiting from new products.

But the maker of Swingline staplers and other office products cautioned that 2011 will remain challenging because of uncertain consumer and business spending.

Acco reported that its net income rose to $6.8 million, or 12 cents per share, for the three months ended Dec. 31. That’s up from $1 million, or 2 cents per share, a year earlier.

Taking out restructuring charges and other items and using a normalized tax rate of 30 percent, adjusted earnings climbed to 25 cents per share from 21 cents per share.

This met the expectations of analysts surveyed by FactSet.

Revenue increased 6 percent to $372.5 million from $352.8 million on volume growth across all segments and topped Wall Street’s $368.3 million forecast.

For the year, Acco Brands earned $12.4 million, or 22 cents per share. That compares with a loss of $126.1 million, or $2.32 per share, in the prior year.

Adjusted earnings rose to 53 cents per share from 47 cents per share.

Annual revenue improved to $1.33 billion from $1.27 billion.

Acco anticipates 2011 revenue will rise 2 percent to 4 percent before the impact of foreign currency. It predicts earnings per share will climb 20 percent to 30 percent on a normalized tax rate basis.

Analysts predict earnings of 74 cents per share on revenue of $1.36 billion.

Shares of the Lincolnshire, Ill. company added 5 cents to $8.69 in afternoon trading.

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