Anixter’s 4Q profit more than doubles

By Associated Press
Posted Feb. 1 at 4:49 p.m.

Shares of Glenview-based Anixter International Inc. jumped Tuesday after the company said its fourth-quarter profit more than doubled, easily topping Wall Street analysts’ expectations.

The stock rose $3.90, or 6.2 percent, to $67.17 in late trading.

The company distributes communication and security products, electrical and electronic wire and cable and other components. The company sells these parts to manufacturers, who in turn use them to make products for the education, healthcare, power distribution, security, shipbuilding, telecommunications and broadcast markets.

The company’s quarterly profit more than doubled to $31.5 million, or 88 cents per share, in the period ended Dec. 31. That compares with year-earlier earnings of $12.7 million, or 35 cents per share.

Excluding one-time charges, the company earned $1.19 per share. Analysts polled by FactSet were expecting 94 cents per share. Analysts typically exclude such one-time items from their estimates.

Revenue rose to $1.43 billion from $1.22 billion. Analysts were expecting $1.35 billion.

Anixter’s management said its fourth-quarter sales were strong despite the period traditionally being a weak season, particularly compared to the third quarter, when manufacturers are busy ramping up production to meet holiday demand.

The company reported strong sales gains across all of its major segments, with its electrical wire business improving the most. Anixter added that it saw even growth across its U.S., European and emerging markets.

During 2010, the company swung to a profit, earning $108.5 million, or $3.05 per share. In 2009, it posted a loss of $29.3 million, or 83 cents per share.

Revenue for the year rose to $5.47 billion from $4.98 billion.

The company did not issue any guidance.

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