Shares of ABX Air ( ABXA) plummeted 23% in late trading Thursday after the air cargo transport company said DHL, a major customer, plans to reduce the amount of services it receives from ABX. Among the changes, DHL will take over the truck line-haul network ABX manages, and DHL won't need ABX to manage its Allentown, Pa., hub. ABX estimates the line-haul and Allentown services comprised $292.3 million of its $1.46 billion in revenue for 2005. Separately, ABX Air said its fourth-quarter profit fell to $9.1 million, or 16 cents a share, from $18.1 million, or 31 cents a share, a year earlier. Revenue rose to $396.6 million from $361.4 million a year ago. Two analysts polled by Thomson First Call had an average estimate for earnings of 27 cents a share, while one analyst projected revenue of $429.9 million. Shares fell $1.86 to $6.15 in after-hours trading. Petco ( PETC) shares rose after the pet-supply retailer posted better-than-expected fourth-quarter results and announced a $100 million share buyback plan. The company's profit rose slightly to $26.8 million, or 46 cents a share, from $26.3 million, or 45 cents a share. Sales grew 10% to $541.5 million from $492.3 million, while same-store sales rose 2%. The results beat analysts' average estimates for earnings of 45 cents a share and sales of $536.8 million. Looking ahead, Petco forecast first-quarter earnings of 23 cents to 25 cents a share, excluding stock-options costs. Analysts forecast earnings of 29 cents a share. The company sees same-store sales growth of about 1% to 3% in the quarter. For the full year, the company sees earnings of $1.48 to $1.52 a share, before roughly 16 cents in options costs, with 2% to 4% same-store sales growth. Wall Street expects earnings of $1.35 a share. Petco shares gained 66 cents, or 3%, to $21.92 after hours.
Shares of UTStarcom ( UTSI) sank after the satellite operator said it will delay filing its annual report due to an ongoing investigation into revenue recognition and its internal controls. The company said it needs more time to complete its previously announced probe into the premature recognition of revenue on a contract with a customer in India. UTStarcom also said it expects to report material weaknesses in its internal controls in its annual report. The company expects to file its Form 10-K around April 30. Shares fell 52 cents, or 8.3%, to $5.72 in late trading. Dot Hill Systems ( HILL) shares slipped after the company said its chief financial officer, Preston Romm, will resign to pursue another opportunity. The maker of data-storage products said Shad Burke, vice president of finance and corporate controller, will be acting financial chief during its search for a replacement. Shares fell 14 cents, or 2.1%, to $6.62 in after-hours trading. WorldSpace ( WRSP) advanced after the provider of satellite-based digital radio services narrowed its fourth-quarter loss. The company reported a loss of $33.2 million, or 90 cents a share, compared with a year-earlier loss of $418.2 million, or $71.45 per share, a year ago, which included costs related to an inter-company consolidation and debt restructuring. Revenue jumped 95% to $4.4 million. Shares gained 23 cents, or 2%, to $11.75 in after-hours trading