UPDATE 2-Tupperware Brands' Q2 misses Wall Street; shares fall

Mon Jul 19, 2010 6:35pm EDT

* Q2 adj EPS $0.93 vs est $0.97

* Q2 net sales up 8 pct, below Street view

* Sees Q3 adj EPS $0.54-$0.59 vs est $0.66

* Sees FY adj EPS $3.51-$3.61 vs est $3.70

* Shares fall 10 pct in trading after the bell (Adds details, updates share movement)

July 19 (Reuters) - Tupperware Brands Corp's (TUP.N) second-quarter results missed market expectations, hurt by declining profit in Europe, and the company forecast weak earnings for the third quarter, sending its shares down 10 percent in trading after the bell. The company, known for its colorful food storage containers, said it expects adjusted third-quarter earnings of between 54 cents and 59 cents a share, compared with analysts' expectation of 66 cents a share, according to Thomson Reuters I/B/E/S.

Tupperware said second-quarter results were hurt by an $8.8 million, or 14 cents a share, one-time charge related to errors in the financial reporting of results at its Russian unit.

Terming the error as an isolated incident, the company said the charge impacted sales, cost of sales and delivery, selling and administrative expenses.

Delivery, sales and administrative expenses rose 10 percent to $301.4 million during the quarter.

For the quarter, Tupperware posted net income of $57.9 million, or 90 cents a share, up from $33.1 million, or 52 cents a share, a year earlier.

Excluding a forex gain of 3 cents, the company earned 93 cents a share.

Net sales at the company, which also sells personal care products under names including NaturCare and Fuller Cosmetics, rose 8 percent to $565.1 million. [ID:nASA00J7W]

Analysts were looking for earnings of 97 cents a share, on revenue of $577.7 million.

Tupperware reported a 17 percent drop in its European segment profit to $26.00 million. The Orlando, Florida-based company's shares, which touched their life high in April, were down at $38.96 in after-market trade. They closed at $43.27 Monday on the New York Stock Exchange. (Reporting by Shradhha Sharma in Bangalore; Editing by Maju Samuel)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.