Shares of Asset Acceptance Capital ( AACC) were among Nasdaq's losers Tuesday, falling 22% after the purchaser and collector of charged-off consumer debt posted third-quarter results that disappointed Wall Street. The company earned $13.7 million, or 37 cents a share, on revenue of $64 million. Analysts polled by Thomson First Call expected earnings of 42 cents a share and revenue of $68.6 million. In last year's third quarter, Asset Acceptance earned $12.8 million, or 34 cents a share, on revenue of $56 million. Cash collections in the most recent period came in at $78.2 million, up from $66.8 million a year ago, but down from $84.9 million in the second quarter. "Our overall growth in cash collections slowed modestly in the third quarter reflecting a lower growth rate in call center collections," the company said. Shares were trading down $5.93 to $20.56. TXU ( TXU) shares dropped 9% after the Texas energy provider posted lower-than-anticipated third-quarter earnings. The company's net income fell 15% to $565 million from $665 million a year earlier. Earnings per share rose to $2.31 from $1.34, reflecting fewer outstanding shares. Excluding special items and discontinued operations, TXU posted earnings of $574 million, or $2.35 a share, up from $388 million, or $1.32 a share, on a comparable basis a year earlier. Analysts, on average, expected earnings of $2.46 a share, before items. The company's operating revenue increased 16% to $3.19 billion from $2.74 billion last year. Despite the weaker-than-expected third-quarter earnings, TXU raised its outlook for 2005. The company sees earnings of $6.50 to $6.70 a share, up from an earlier range of $6.25 to $6.45. Wall Street projects earnings per share of $6.58 for the year. TXU shares recently changed hands at $91.68, down $9.07. Administaff ( ASF) rose 6% after the human-resources company posted better-than-expected third-quarter results. The company's earnings rose to $7.2 million, or 26 cents a share, from $3.6 million, or 14 cents a share, a year earlier. Sales grew to $285.2 million from $235.9 million. Analysts projected earnings of 23 cents a share and sales of $284.2 million.
For 2005, Administaff now expects its gross profit per worksite employee to be between $216 to $217, up from an earlier guidance of $211 to $213. Average worksite employees paid per month is now projected to be 88,400 to 88,600, up from an earlier forecast of 87,700 to 88,000. The company sees net interest income, meanwhile, of $3.5 million and $3.7 million, up from the company's previous view of $3 million to $3.2 million. Shares recently gained $2.36 to $44.68. Shares of Mills Corp ( MLS) fell 14% after the real estate investment trust warned that third-quarter results would be "substantially below" expectations. The company, which rescheduled its third-quarter financial release, said it needs additional time to evaluate the accounting for several items in results for the period. Mills, which had expected to release results today, will now release them on Nov. 9. Analysts' projections had called for the company to report funds from operations of $1.06 a share. Shares fell $7.44 to $46.06. American Reprographics ( ARP) rose 12% after the document reproduction company posted third-quarter results topped forecasts. The company earned $10.5 million, or 23 cents a share, on sales of $127.5 million. Analysts had forecast earnings of 21 cents a share. A year earlier, the company earned $7.2 million, or 19 cents a share, on sales of $110.2 million. Excluding a one-time tax benefit, last year's earnings would have been $5 million, or 13 cents a share. Looking ahead, American Reprographics now expects adjusted 2005 earnings, which exclude items, of 83 cents to 85 cents a share. Analysts have an average forecast for earnings of 84 cents a share. The company continues to expect sales of $485 million to $490 million, bracketing analysts' target of $486.8 million. Shares were rose $2 to $18.85. Shares of Tarrant Apparel ( TAGS) sank 44% after the apparel maker slashed its full-year outlook. The company now expects earnings of $1 million to $2 million, down significantly from its previous prediction of $9 million to $12 million. Tarrant cut its sales projection to $210 million to $215 million from its earlier guidance of $240 million to $250 million.
"The reduced sales projection is the result of several factors, including the general slowing in denim sales relative to initial plans, which affected every customer to some extent, and has also negatively impacted the company's private brands fourth quarter bookings," Tarrant said. The company also said that Sears Holdings' ( SHLD) Kmart chain has decided to discontinue Tarrant's Gear 7 brand, which will hurt fourth-quarter sales. Shares were trading down 74 cents to 95 cents. NYSE volume leaders included Lucent Technologies ( LU), down 6 cents to $2.79; Nokia ( NOK), up 14 cents to $16.96; Pfizer ( PFE), down 15 cents to $21.59; Texas Instruments ( TXN), down 40 cents to $28.15; McDonald's ( MCD), up 80 cents to $32.40; JP Morgan Chase ( JPM), up 31 cents to $36.93; Hewlett-Packard ( HPQ), up 33 cents to $28.37; and Motorola ( MOT), down 14 cents to $22.02. Nasdaq volume leaders included Dell ( DELL), down $2.50 to $29.38; Nabi Biopharmaceutical ( NABI), down $8.81 to $4.04; Sirius Satellite Radio ( SIRI), up 24 cents to $6.47; Intel ( INTC), down 59 cents $22.91; Microsoft ( MSFT), up 16 cents to $25.86; Novavax ( NVAX), up 90 cents to $4.94; and Cisco Systems ( CSCO), down 4 cents to $17.41.