Blaming continuing operational issues, Compaq said this morning it expects a second quarter loss of up to 15 cents a share, compared to analysts' estimates of profits of 20 cents a share.
Nevertheless, we expect companies to exceed estimates by the typical margin of about 3% for several reasons: –Leading indicators of profit growth, like the Institute for Supply Management's Purchasing Managers Index, rose steadily throughout the quarter, and exports were boosted by the declining dollar, with a commensurate rise in analysts' estimates of profits.
The question is rarely answered because the relevant data, estimates of profits and fixed costs, are rarely available.
It concludes that Capco used "various devices" to ensure "a minimal estimate of profit", thereby fashioning an argument for the scheme including a smaller amount of affordable homes than would otherwise have been the case.
On Thursday, the government raised its estimate of those profits in the first quarter, even as it reduced its estimate of profits earned in this country.
The Wall Street estimate of profits was 43 cents a share, and the revenue estimate was $7.13 billion.
Goodyear reduced its estimate of profits in the third quarter, and its shares fell 55 cents, to $17.85.
But Ford raised its estimate of profits for 2003 by 10%, thanks to cost-cutting and improvements to its credit business.
You may be required to file an estimate of profits and to pay quarterly taxes in advance based on the estimate, then get a refund, if you don't do that well.
