The media conglomerate, which operates the HSN shopping network, Ticketmaster and CitySearch, said Q4 earnings rose 29% to 67 cents a share ex items, beating views by 14 cents. IAC/InterActiveCorp. () said revenue increased 8% to $1.82 bil, just shy of forecasts of $1.87 bil. The company said its search site Ask.com, which IAC wants so that it can tie together its various Internet assets, had especially strong growth in its revenue per query. Shares dipped 1.4% to 38.72.
Bankrate jumps on record quarter
The online provider of mortgage and credit card information soared 14.7% to 44.47 after it said Q4 earnings surged 80% to 27 cents ex items, its most profitable quarter and 3 cents above views. Revenue climbed 49% to $20.7 mil, driven by robust online advertising. Bankrate () raised ‘07 revenue guidance to $95 mil-$100 mil vs. views of $98.8 mil.
CDC lifts outlook on strong sales
The Chinese Internet service and online gaming firm lifted its forecast for Q4 due to stronger-than-expected software licensing and gaming revenue. CDC Corp. () expects Q4 earnings of $34.3 mil-$35 mil, above views of $32.6 mil. For the year, the company expects ‘06 sales of $307 mil-$308 mil, topping analysts’ expectations for $304.8 mil. Shares jumped 5% to 10.69.
YouTube to post Japanese warning
Google’s () video-sharing Web site, YouTube, agreed to post warnings in Japanese urging users not to post copyrighted material on its site. YouTube also said it will try to filter out copyrighted Japanese video by enlisting the help of its parent company, according to a group of Japanese TV stations. The agreement comes after YouTube deleted 30,000 Japanese files in Oct. amid copyright complaints and last week’s demand by U.S. media company Viacom () that it withdraw more than 100,000 of its unauthorized video clips. Shares edged up 1% to 471.48.
EarthLink, () a provider of broadband Internet and phone services, said it swung to a Q4 loss of 20 cents a share, missing views by 4 cents. Revenue rose 5% to $328.2 mil, below views. Losing money at its wireless joint venture affected the results. Shares fell 3.9% to $6.96.
REAL ESTATE
Equity Office buyout bid raised
Private equity group Blackstone Group boosted its bid 3% for the REIT () to $23 bil in cash, the latest volley in a bidding war with Vornado Realty Trust. () Blackstone’s offer of $55.50 a share is still below Vornado’s sweetened bid of $56, but Blackstone’s offer is all cash. Equity Office stock rose above Blackstone’s bid, indicating the price could go even higher. In Nov., Blackstone agreed to buy Equity Office for $20 bil, or $48.50 a share. Equity Office rose 1% to 56.05.
ProLogis, () an industrial REIT, said Q4 funds from operations surged 95% to $1.11 a share, 7 cents above views. The company credited increasing rents and demand. Shares rose 3% to 67.77.
MEDICAL
State to pay for Merck vaccine
The vaccine against human papillomavirus, cited as the cause of most cervical cancer, will be offered free to girls in Wash. state. About 143,000 doses of Gardasil, made by drug maker Merck, () should be purchased by late spring, state officials said. Typically, the 3-shot vaccination cost $360. Last week, Texas announced HPV vaccination would be mandatory for girls entering the sixth grade as of Sept. ‘08. N.H. was the first state to offer the vaccine for free to all girls. Merck edged up 6 cents to 44.64.
Gene test for breast cancer OK’d
U.S. health officials approved a genetic test that can provide women with early breast cancer an estimate of whether the disease is likely to return in 5 to 10 years. Dutch company Agendia made a test called MammaPrint, and the test measures the activity of 70 genes using a sample from a breast cancer tumor that has been removed. The FDA cautioned that the test is not perfect and should be used with other information.
FINANCE
MGIC to buy Radian for $5.47 bil
The mortgage insurer plans to buy rival Radian Group () for $5.47 bil. The move will let it cut costs amid shrinking demand that has been affected further by a slowing housing market. MGIC Investment () and Radian expect to close the deal in Q4. The combined company is to be called MGIC Radian Financial Group and is going to have nearly $15 bil in total assets.
ENERGY
Duke Energy Q4 EPS tops views
The company said its earnings rose 2% to 43 cents a share ex items, beating views by 3 cents. Duke Energy’s revenue jumped 34% to $4.07 bil, missing expectations of $4.56 bil. In the quarter, which CEO James E. Rogers called “lackluster,” the company completed the sale of its Commercial Marketing and Trading business and closed on its $195 mil purchase of N.C.’s Rockingham power plant. Shares fell 1% to 20.06.
Dawson tops views; shares soar
The provider of seismic data to oil and gas companies leapt 14.9% to 41.04 after it said Q1 earnings more than doubled to 71 cents a share, beating views by 13 cents. Dawson Geophysical () said revenue jumped 51% to $53.7 mil. The company said it benefited from “brisk domestic exploration activities by the oil and gas industry.”
BP finishes ‘06 on a weak note
The British oil giant, BP’s () Q4 net profit fell 22% to $2.88 bil, missing expectations, as revenue slipped 1.6% to $62.8 bil as it closed out a problem-plagued year. BP struggled last year as it was forced to shut half of a key Alaska pipeline due to corrosion, suffered production delays in the Gulf of Mexico and had its safety record blasted by a U.S. inquiry into a fatal Texas refinery blast. CEO John Browne took much of the blame and has announced he’ll retire early. BP fell nearly 1% to 63.25.
National Oilwell Varco, () a provider of oil field services and equipment, more than doubled Q4 profit to $1.35 per share, beating views by 29 cents. Revenue climbed 42% to $2.08 bil, above views. Strong demand for its rig technology products and oil field supplies helped the result. Shares rose 9.4%.
RETAIL
Wal-Mart sex-bias suit to proceed
A federal appeals court said the corporate giant must face a class-action lawsuit claiming that Wal-Mart discriminated against women in pay and promotions. The suit would cover as many as 1.5 mil current and former female workers and, if successful, could cost the company billions. The ruling upholds a federal judge’s decision. Wal-Mart rose 6 cents to 48.58.
Activist joins Home Depot board
The largest home improvement retailer, Home Depot () will give a seat on its board to Relational Investors, an investment group that wants to consider a leveraged buyout of Home Depot to generate shareholder value. The group threatened a proxy fight over the company’s direction, but under the agreement Home Depot will give a seat to Relational principal David Batchelder, who will drop the proxy challenge. Home Depot said it will oppose any move involving a sale of the company. Shares rose 0.6% to 41.27.
Urban Outfitters, () an apparel retailer, said Q4 same-store sales fell 5%. Shares rose 1.4% to 25.38.
DIVERSIFIED
Tyco beats, but offers no outlook
The conglomerate, Tyco () said Q1 earnings rose 15% to 45 cents a share ex items, edging past views by a penny. Revenue climbed 8% to $10.3 bil, above analyst forecasts. Tyco will split into 3 publicly traded companies, as it plans to spin off its health care and electronics divisions early in Q2. It didn’t issue a Q2 EPS outlook. Shares fell 1.9% to 32.59.
Emerson Electric’s Q1 tops views
The diversified manufacturer said earnings rose 15% to 55 cents a share, beating views by 2 cents. Revenue rose 11% to $5.1 bil vs. expectations of $4.99 bil. Sales from existing businesses rose 4%. Emerson () said 4 of its 5 segments had higher sales. The process management, industrial automation and network power segments reported double-digit revenue gains. Shares slid 1% to 45.12.
TRANSPORTATION
Northwest Air narrows Q4 loss
The bankrupt carrier cut its loss to $7 mil ex items, far less than the $386 mil it lost a year ago. Revenue rose 2% to $2.98 bil. Lower fuel costs and higher fares boosted results. Northwest Air will distribute about $44 mil to employees via its profit-sharing and performance-incentive payments, as well as holiday payments.
US Air () said Jan. traffic increased 4.7% on all 3 of its airlines US Airways, America West and US Airways Express. Capacity rose less than 1% as occupancy rose 2.8% to 73.3%. Shares slid 10 cents.
METALS
Metal Management falls on miss
The metals recycler, Metal Management () said Q3 earnings remained unchanged at 60 cents a share, falling short of views by 14 cents. Revenue increased 33% to $524 mil. The company blamed weak U.S. iron market demand, slower domestic stainless steel mill consumption and falling copper prices. Income from joint ventures declined to $357,000 from $3 mil a year ago. Excluding depreciation, costs of sales rose 36% to $471.7 mil. Shares fell 3% to 40.82.