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$PLL 3Q15 10-Q: Provision for income taxes was up 43.5% to $22.11MM vs. $15.41MM in 3Q14. PLL effective tax rate was 18.7% vs. 14.8% in 3Q14. As of April 30, 2015, the amount of net unrecognized income tax benefits that, if recognized, would impact the ETR was $104,594.
Medical research firm $TMO reported a decline in 4Q17 profit, owing to higher income tax provision. Earnings dropped to $528MM or $1.30 per share from $630MM or $1.59 per share in 4Q16. On an adjusted basis, earnings rose 16% to $2.79 per share. Revenues, meanwhile moved up 22% to $6.05BIl, helped by gains from acquisitions and favorable currency.
Semiconductor equipment maker $LRCX slipped into the negative territory in 2Q18, hurt by a substantial income tax expense. The loss was $0.06 per share, compared to earnings of $1.81 per share a year earlier. Meanwhile, revenues surged 37% YoY to $2.58Bil, supported by strong demand across all markets. Total shipments came in at $2.63Bil.
With regard to $COL acquisition, $UTX still does expect to close the deal sometime in midyear. $UTX is working through the second request with the DOJ right now. $UTX had earlier expected to fund part of the cash aspect of the deal through foreign cash and now the company is going to bring back about $1Bil a year to pay down the debt.
$UTX feels good about EPS growth outlook of $6.85-7.10, with all four business units contributing. As in the prior years, $UTX's earnings growth will be weighted more towards the back half of the year as it gets the benefit of cost reduction efforts. $UTX sees 1Q18 EPS to be basically flat to 2017, on the profile of the commercial businesses.
Operationally, $UTX continued to execute against its growing aerospace backlog. At Pratt & Whitney, $UTX shipped 374 Geared Turbofan engines in 2017, which is in the range of its 350-400 target and nearly triple its 2016 shipments. The company successfully implemented the engine improvements that it promised to customers in 2017.
$UTX announced the transformative $COL acquisition which will create a premier aerospace supplier. As a result of this proposed transaction, together with the investments in the company's businesses and in its digital strategies, $UTX is positioned well for years to come. The company expects all of its businesses to grow sales and earnings in 2018.
$UTX expects FY18 adjusted EPS of $6.85-7.10 and total sales of $62.5-64Bil, which includes organic sales growth of 4-6%. The company predicts free cash flow in the range of $4.5-5.0Bil. In 2018, $UTX expects accelerating organic sales and adjusted EPS growth along with strong cash generation. The outlook excludes proposed $COL acquisition.
$UTX's commercial aftermarket sales for 4Q17 were up 25% at Pratt & Whitney, and up 10% at UTC Aerospace Systems. Otis new equipment orders rose 1% at constant currency, with solid growth in the U.S. and Europe and continued pricing pressure in China. Equipment orders at UTC Climate, Controls & Security increased 9% organically.
$UTX reported a drop in 4Q17 earnings due to charge related to tax law changes and restructuring items. Income from continuing operations fell to $486MM or $0.50 per share from $1.12Bil or $1.26 per share last year. Net sales was $15.7Bil, up 7% over a year ago including 5 points of organic sales growth. Adjusted EPS rose 3% to $1.60.
$AQUA, which provides water treatment solutions, has appointed Peter Wilver to its board of directors. Wilver, a former senior executive at $TMO, most recently served as Thermo Fisher's EVP and Chief Administrative Officer. Earlier, he held financial management roles at various industrial companies including GE, Honeywell and Grimes Aerospace.
$TMO, a leading medical technology company, has signed an agreement with life sciences firm $ILMN, under which Thermo Fisher will provide Illumina with Ion AmpliSeq technology. The tie-up will help Illumina effectively sell Ion AmpliSeq technology to researchers engaged in scientific studies on its next-generation sequencing (NGS) platforms.
$VMI appointed Donna Milrod and Stephen Kaniewski to its BoD, effective Jan. 1, 2018. Also effective Jan. 1, Mogens Bay, Chairman & CEO, will take over as Executive Chairman. Mr. Kaniewski, COO, will succeed Mr. Bay as CEO on Dec. 31, 2017. Catherine J. Paglia will succeed Kenneth E. Stinson as Lead Director upon his retirement on April 25, 2018.
$TRN's BoD authorized a new $500MM share repurchase program, doubling the size of its existing authorization which expires on Dec. 31, 2017. The new program will be effective Jan. 1, 2018 through Dec. 31, 2019. Also, $TRN's BoD declared a quarterly dividend of 13 cents per share, payable on Jan. 31, 2018 to stockholders of record on Jan. 12.
$TRN's BoD unanimously approved a plan to pursue a spin-off of its infrastructure-related businesses to Trinity shareholders. The separation is planned as a tax-free spin-off transaction to its shareholders and is expected to be completed in 2H18. The transaction is expected to result in two separate public companies.