DOW JONES NEWSWIRES
Ball Corp.'s (BLL) fourth-quarter profit grew a
better-than-expected 13%, as the metal-packaging and aerospace
company reported gains from acquisitions and surging sales in
emerging markets.
For the current year, Ball said it expects to exceed last year's
earnings of $468 million, or $4.72 a share. Analysts' expectations
were for $5.34 a share.
Ball has seen its results improve over the past several quarters
after orders rebounded from low levels seen during the economic
downturn. On Wednesday, Ball unveiled plans to return cash to
shareholders through a two-for-one stock split, a dividend increase
and a new share buyback program.
The company spent last year shedding less-profitable divisions
and expanding its footprint in emerging markets that have delivered
double-digit revenue growth in the past quarters. The company has
sold its plastic-packaging division and in September said it
increased its stake in a Brazilian beverage packaging joint
venture.
For the fourth quarter, Ball reported a profit of $92.2 million,
or $1.04 a share, compared with $81.4 million, or 85 cents a share,
a year earlier.
Excluding items such as a 13-cent tax benefit in 2009, earnings
from continuing operations rose to $1.06 a share from 83 cents.
Revenue increased 15% to $2 billion as volume growth in Ball's
metal beverage packaging business in China and Brazil drove
improved results.
Analysts polled by Thomson Reuters had most recently estimated
earnings of 92 cents and $1.88 billion in revenue.
Gross margin rose to 17.8% from 16.9%.
Shares closed at $71.67 on Wednesday and were inactive
premarket. The stock has surged 42% over the past year.
-By Drew FitzGerald, Dow Jones Newswires; 212-416-2909;
Andrew.FitzGerald@dowjones.com