PepsiCo Beats Estimates; MP3.com IPO Priced Above-Range

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PepsiCo

(PEP) - Get Report

recorded second-quarter earnings of 31 cents a share, topping the 15-analyst

First Call

estimate of 29 cents and moving ahead of the year-ago 28 cents.

Credit Suisse First Boston

priced

MP3.com's

(MPPP:Nasdaq) 12.3 million-share IPO above-range at $28. The company is an online music distributor. The price range for its offering was raised to $16 to $18 from $9 to $11, and then to $24 to $26.

Among other new issues,

Donaldson Lufkin & Jenrette

priced

Insight Communications'

(ICCI:Nasdaq) 23 million-share IPO above-range at $24.50. The company is the 8th largest cable TV system operator.

Finally, DLJ priced

Voyager.net's

(VOYN:Nasdaq) 9 million-share IPO top-range at $15. The company is the largest ISP in the Midwest.

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

Earnings/revenue reports and previews

Siebel

(SEBL)

beat analysts' expectations again in the second quarter and told investors and analysts in a conference call that business for the remainder of the year and into Year 2000 looked healthy.

In the second quarter ended June 30, the maker of front-office software earned 24 cents a share, beating the forecast of 21 cents. Net revenue was $164.4 million, up from $90.0 million a year ago, while net income jumped to $25.8 million from pro forma net income of $12.0 million at the same time last year.

Despite technical glitches on the conference call that made hearing difficult and intermittent, CEO Tom Siebel managed to get his message through: The market for front-office software was "large, growing rapidly" and still was only about 5% penetrated, leaving more room for Siebel to expand.

BancBoston Robertson Stephens

analyst Jon Ekoniak, whose firm has underwritten for Siebel, said he was impressed with Siebel's quarter, noting: "It was a great quarter across the board. It beat our estimates pretty solidly in license revenue, services (revenue) and EPS."

But the solid quarter with its sequential drop in day sales outstanding, or DSOs, was still not enough to change the mind of

Adams Harkness Hill

analyst Ben Rose, who said he will stick with his sell recommendation on the stock. DSOs, a measure of how fast customers are paying for products, fell to 95 from 99 last quarter and were one of several reasons Rose downgraded the stock about a week and a half ago.

"DSOs are only one of several concerns," Rose said. "The company is still at a red line. There are still balance sheet issues that raise a few eyebrows." Rose, whose firm has not underwritten for Siebel, declined to give more detail immediately after the conference call.

On the call, Siebel also quashed rumors that the company was interested in buying troubled enterprise resource planning, or ERP, company

PeopleSoft

(PSFT)

, which reported a drop in revenue again after the market close. PeopleSoft's second-quarter revenue slipped to $312.2 million from $320.5 million a year ago. Earnings fell to $3.0 million, or a penny a share, from $39.2 million, or 15 cents a share, a year ago. Though the maker of back-office software had earnings that matched the consensus estimate, some analysts said license revenue of $57.9 million was lower than some had forecast.

"The ERP market is really crummy," Siebel said. "The market problems there are not related to Y2K or a temporary market phenomenon. The store's closed there. It's a contracting market with incredible competition and almost panic price-slashing going on. What is it that we would find attractive about that?"

(See the earnings chart below for more earnings information on Siebel and PeopleSoft.)

--

Medora Lee

Bell & Howell

(BHW)

reported second-quarter earnings of 46 cents a share, a penny ahead of the three-analyst view and up from the year-ago 38 cents. The company said it expects to report 1999 earnings of about $2 a share vs. estimates of $2.02.

Cadence Design Systems

(CDN)

reported second-quarter earnings of 8 cents a share, missing the 12-analyst estimate of 20 cents and falling behind the year-ago 28 cents. The company also warned that its third-quarter revenue would fall from the second quarter's $264 million and said that it expects to return to year-over-year revenue growth in the second quarter of 2000.

CompuCom Systems

(CMPC)

recorded second-quarter earnings of 5 cents a share, on target with the four-analyst view but below the year-ago 9 cents. The company also said its CEO and president, Ed Anderson, will resign Aug. 1. Chairman Harry Wallaesa was named interim CEO and COO Tom Lynch was named president.

RF Micro Devices

(RFMD)

reported first-quarter earnings of 25 cents a share, 3 cents better than the nine-analyst expectation and up from the year-ago 5 cents. The company also set a 2-for-1 stock split.

Suiza Foods

(SZA)

said it will take a $5 million restructuring charge in its second quarter. The dairy products maker said it's reorganizing its Florida facilities to improve efficiency.

Washington Mutual

(WM) - Get Report

posted second-quarter earnings of 82 cents a share, in line with the 19-analyst outlook and above the year-ago 71 cents. The company also announced plans to buy back 30 million shares.

In other earnings news:

Mergers, acquisitions and joint ventures

The

Justice Department

approved

Allied Waste's

(AW)

$9 billion acquisition of

Browning-Ferris

(BFI)

but asked the companies to shed more than $500 million in assets.

Sprint PCS

(PCS)

said it will buy

Qualcomm's

(QCOM) - Get Report

Digital PCS phones for $400 million.

Synetic

(SNTC)

and

Medical Manager

(MMGR)

agreed to a stock exchange ratio for their pending merger. Each share of Medical Manager will be converted into the right to receive 0.625 of a Synetic share.

Offerings and stock actions

Clorox

(CLX) - Get Report

set a 2-for-1 stock split.

Miscellany

In a move designed to allow

Ford

(F) - Get Report

to build a new plant in the state of Bahia, Brazil announced new tax incentives for automakers to set up plants in the poorer northern half of the country.

As originally published, this story contained an error. Please see Corrections and Clarifications

.