April 29, 2010 / 9:09 PM / 8 years ago

UPDATE 2-Jarden Q1 tops view; ups 2010 organic growth outlook

* Q1 adj EPS $0.25 vs est $0.20

* Q1 revenue up 4 pct, tops Street View

* Raises 2010 organic growth view to 3 pct-5 pct

* Says remains comfortable with Street’s 2010 view

* Sees headwinds related to higher commodity costs (Adds CEO comments, conference call details)

BANGALORE, April 29 (Reuters) - Consumer products company Jarden Corp JAH.N reported an improved adjusted first-quarter profit that beat estimates, helped by strong margins, but said it sees headwinds related to higher commodity prices in 2010.

“The company faced similar pressures earlier and was still able to grow gross margins, and would be able to do the same going forward,” Chief Executive Martin Franklin told Reuters. The company will price its products appropriately to meet its margin expectations, he said.

Last fall, CEO Franklin told Reuters he expects organic sales growth of 2 percent to 4 percent in 2010, excluding currency exchange swings and changes in commodities prices.

On Thursday, Franklin said Jarden now expects 2010 growth to trend between 3 percent and 5 percent.

On a conference call with analysts, Franklin said he expects about one-third of 2010 sales to stem from products launched in the last three years, and is comfortable with street estimates for 2010 results. [ID:nWNAB4272]

Analysts on average were expecting Jarden to report 2010 earnings of $2.72 a share, on revenue of $5.78 billion, according to Thomson Reuters I/B/E/S.

Jarden, which sells products ranging from cookware to skis and playing cards, swung to a first-quarter loss of $59 million, or 66 cents a share, compared with net income of $8.9 million, or 12 cents a share, a year earlier.

Excluding a one-time charge related to inflation in Venezuela, which Jarden announced earlier this month, the company earned 25 cents a share in the quarter. [ID:nSGE63F0K0]

Revenue at the owner of brands from Mr. Coffee to Crock-Pot and K2, rose 4 percent to $1.19 billion.

Analysts were looking for earnings of 20 cents a share, on revenue of $1.15 billion. [ID:nASA00AJH]

Consumer prices in Venezuela rose 25.1 percent in 2009, making inflation in the South American oil-producing nation one of the highest in the world, a government source told Reuters in January. [ID:nN07187396]

Shares of Rye, New York-based Jarden, which have risen 77 percent in the last one year, closed at $33.51 Thursday on the New York Stock Exchange. (Reporting by Shradhha Sharma in Bangalore; Editing by Gopakumar Warrier)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below