Tupperware Profits Rise in Third Quarter on Lower Revenue; Beats Expectations (TUP)
Personal and household goods producer Tupperware Brands Corporation (TUP) released its third quarter financial report on Wednesday that showed an increase in profits, but a decline in revenue; both beat Wall Street estimates.
The Orlando, Florida based company reported third quarter net income of $47.5 million, or 85 cents per share, compared to $10.5 million, or 17 cents per share, a year earlier. Adjusted earnings per share for the third quarter was 95 cents per share.
TUP revenue for the third quarter dropped -1.3% to $594.4 million from $602.6 million in the year ago period.
Wall Street analysts polled by Thomas Reuters expected Tupperware to have third quarter adjusted earnings per share of 90 cents on revenues of $582.28 million.
Looking forward, TUP sees 2012 earnings per share to be in the range of $4.94 to $4.99. The Wall Street consensus is that Tupperware will earn $4.89 per share in 2012.
Tupperware shares were flat in premarket trading on Wednesday.
The Bottom Line
Shares of Tupperware (TUP) have a 2.66% dividend yield, based on last night’s closing stock price of $54.22. The stock has technical support in the $49-$51 price area. If the shares can firm up, we see overhead resistance around the $58 price level.
Tupperware Brands Corporation (TUP) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.