This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

SPX's CEO Discusses Q4 2011 Results - Earnings Call Transcript

During Q4, we also had 2 notable accomplishments that improved our position in late-cycle power markets. We substantially completed the construction of our large Power Transformer plant, and we are beginning production at the new facility. And we formed a joint venture with Shanghai Electric to enhance our competitive position in China and other emerging markets for some of our Thermal products. The joint venture has already received an indication for its first significant order, and we expect it to benefit this year and beyond from China's investment in power infrastructure. We're very encouraged with the progress we've made, and we plan to continue focusing on strategic actions in 2012.

Moving on to the financial results for Q4. Revenue increased 13% over last year to nearly $1.5 billion. From an organic perspective, revenue grew 11%, with all 4 segments reporting organic growth. Segment income was $177 million, up 10% over last year, and our segment margin was 11.9%. In the quarter, Flow accounted for nearly 50% of our total segment income. We're very pleased with Flow's operating results, which included 13% organic revenue growth and segment income margins greater than 15%.

Looking at earnings per share on an adjusted basis. Q4 EPS increased 58% over last year to $1.78 per share. And excluding the cash flow impact associated with the ClydeUnion acquisition, we generated $219 million of free cash flow in the quarter.

For the full year, revenue increased 12% over last year to nearly $5.5 billion. Organic revenue growth was 7%. Segment income was $580 million, up 4% over last year, and our full year segment income margin was 10.6%. Adjusted EPS increased 21% over last year to $4.38 per share. And for the full year, excluding ClydeUnion, we generated $265 million of free cash flow. On an adjusted basis, our free cash flow conversion of net income was approximately 119%.

Read the rest of this transcript for free on seekingalpha.com

3 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,493.37 -69.93 -0.42%
S&P 500 1,925.15 -5.52 -0.29%
NASDAQ 4,352.6390 -17.1340 -0.39%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs