Market Roundup

Return to Article

Earnings, Revenue, Guidance Higher at RadioShack

Paula Lacê

Consumer electronics retailer RadioShack(RSH Quote) reported an upbeat second quarter Tuesday, posting higher earnings and revenue and raising its full-year earnings forecast.

Second-quarter profits rose 11% to $57.5 million, or 34 cents a share, compared with a year-earlier net of $51.8 million, or 28 cents a share. Earnings beat Wall Street estimates of 29 cents a share.

Total revenue rose 3% to $1.03 billion from $998 million, boosted mainly by sales of wireless communications products. Same-store sales increased 3%.

"Strong sales in the wireless and toy departments, combined with improvement in the computer and power-technical departments, made for very respectable financial results," said Chairman and Chief Executive Leonard Roberts.

RadioShack predicted full-year earnings of $1.63 a share, up from an April forecast of $1.60 a share. Analysts were expecting a profit of $1.56 a share this year. The company reaffirmed 2003 sales growth projections of 3.5% to 4% and third-quarter net earnings of 27 cents to 29 cents a share. Analysts were expecting 28 cents per share.

Shares of RadioShack were recently up 32 cents, or 1.3%, to $26.33.