Amazon Slumps After Hours; Harmonic Buys C-Cube Unit for $1.7 Billion

Plus tons of earnings news and more from after the close.
Author:
Publish date:

Online retailer

Amazon.com

(AMZN) - Get Report

posted a third-quarter pro forma operating loss of 26 cents a share, 2 cents better than the 22-analyst

First Call/Thomson Financial

estimate of a 28-cent loss but wider than the year-ago loss of 8 cents a share. The company said revenues rose to $356 million from $154 million a year earlier. Amazon warned that gross profit margins are likely to fall as marketing expenses rise in the fourth quarter, although revenue should be significantly higher than the third quarter's.

TheStreet.com

reported on Amazon's results in a

story this evening. The stock was suffering in after-hours action (see below).

Harmonic

(HLIT) - Get Report

agreed to buy the

Divicom

business of

C-Cube Microsystems

(CUBE) - Get Report

for about $1.7 billion in stock, in an effort to strengthen its video, voice and data delivery over different networks. C-Cube shareholders will receive 0.5427 shares of Harmonic stock for each share of C-Cube.

After-Hours Markets

Tonight was

Amazon's

(AMZN) - Get Report

night. It crushed all other issues traded on

Island ECN

, on a whopping 436,788 shares. It led

MarketXT

. Why? The company released third-quarter results that beat expectations, but it said fourth-quarter losses might expand because of increased marketing spending.

James Cramer's

got his

opinion, while

George Watson's

got the

story.

Island ECN, owned by Datek Online, offers trading, mainly in Nasdaq-listed stocks, from 8 a.m. to 8 p.m. EDT. Prior to Sept. 15 Island offered trading from 8 a.m. to 5:15 p.m. EDT

.

MarketXT, formerly Eclipse Trading, offers after-hours trading to retail clients of Morgan Stanley Dean Witter's (MWD) Discover Brokerage and Mellon Bank's (MEL) Dreyfus Brokerage Services. Clients can trade 200 of the most actively traded New York Stock Exchange and Nasdaq Stock Market issues, 4:30 p.m. to 8 p.m. EDT Monday through Thursday. Prior to Oct. 11, MarketXT traded issues from 6 to 8 p.m. Need more information on the ins and outs of after-hours trading? Click here to see how the rules change when the sun goes down.

--

Eric Gillin

In other postclose news (earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified):

Earnings/revenue reports and previews

Adept Technology

(ADTK)

posted first-quarter loss of 15 cents a share, narrower than the two-analyst estimate of a 20-cent loss but down from the year-ago 4-cent profit.

Agribrands International

(AGX) - Get Report

posted fourth-quarter earnings of $1.08 a share including gains. The single analyst expectation was $1.09 a share, while the year-ago figure was 41 cents a share including items.

Ameritrade

(AMTD) - Get Report

posted a fourth-quarter loss of 5 cents a share, matching the 10-analyst estimate but down from the year-ago profit of 3 cents.

Anchor Gaming

(SLOT)

posted first-quarter earnings of $1.30 a share, beating the three-analyst estimate of $1.28 but down from the year-ago $1.48.

Concur Technologies

(CNQR)

posted a fourth-quarter loss of 54 cents a share, wider than the four-analyst estimate of a 52-cent loss but narrower than the year-ago $2.19 loss.

Cox Communications

(COX)

posted third-quarter earnings of 2 cents a share including a gain on investments. The seven-analyst estimate was for a loss of 7 cents a share, while the year-ago earnings were $1.95 a share, also including gains.

CSG Systems

(CSGS) - Get Report

posted third-quarter earnings of 29 cents a share, in line with the 11-analyst estimate and up from the year-ago 26 cents.

Imagex

(IMGX)

posted a third-quarter loss of 36 cents a share, narrower than the two-analyst expected loss of 78 cents and the year-ago loss of 39 cents. The company said per-share figures were computed on a pro forma diluted basis, assuming conversion of preferred stock from the original date of issuance and giving effect to the 1-for-2 reverse stock split effected in connection with ImageX.com's August IPO.

Kronos

(KRON)

reported fourth-quarter earnings of 64 cents a share, beating both the four-analyst estimate of 59 cents and the year-ago 45 cents.

Markel

(MKL) - Get Report

posted third-quarter earnings from core operations of $1.77 a share excluding items, missing the four-analyst estimate of $2.06 and the year-ago $2.01.

Paradyne

(PDYN)

reported third-quarter operating net of 9 cents a share, beating the five-analyst expectation that the company would break even and the year-ago break-even result, which the company notes was antidilutive.

SunSource

(SDP) - Get Report

reported third-quarter earnings of 1 cent a share including a gain. The single-analyst estimate was for break even results, while the year-ago earnings were 64 cents a share.

3DO

(THDO)

reported a second-quarter loss of 18 cents a share, narrower than the two-analyst estimate of a 27-cent loss and the year-ago 29-cent loss.

U.S. Food Service

(UFS) - Get Report

posted a first-quarter profit of 23 cents a share, beating the 12-analyst estimate of 22 cents and the year-ago 18 cents.

Zebra Technologies

(ZBRA) - Get Report

posted third-quarter earnings of 66 cents a share, beating the seven-analyst estimate of 57 cents and the year-ago 42 cents.

Ziff-Davis

(ZD)

reported a third-quarter loss of 14 cents a share, narrower than the two-analyst expected loss of 21 cents but wider than a year-ago pro forma loss of 4 cents a share.

In other earnings news:

Mergers, acquisitions and joint ventures

Gateway

(GTW)

said it signed a five-year memory chip supply deal with

Micron Technology

(MU) - Get Report

. Though terms were not disclosed, the deal was structured similarly to a pact Micron reached with

Compaq

(CPQ)

that analysts estimated to be worth up to $20 billion over five years, according to

Reuters

.

Offerings and stock actions

Bear Stearns

priced the 6.25 million-share IPO of

Data Return

(DRTN)

at $13 a share, above the expected range of $10 to $12.

Heartland Express

(HTLD) - Get Report

said it bought back 3.5 million shares, or 11.7% of its outstanding common stock.

Morgan Stanley Dean Witter

priced 10 million shares of

Triton PCS

(TPCS)

at $18 a share, above the expected $15-to-$17 estimated range.

Miscellany

El Al Israel Airlines

said it agreed to purchase three 777-200ER aircraft from

Boeing

(BA) - Get Report

for $400 million. El Al also said it plans to buy three or four A330's from

Airbus Industrie

for about $400 million but that a further two-week evaluation was required.

A unit of

MCI WorldCom

(WCOM)

was awarded a major U.S. military communications contract for Asia and the Pacific region that could be worth up to $4 billion over 10 years.