Core-Mark Holding Company, Inc. - Conference Presentation Calls

Core-Mark Holding Company Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. For the quarter, the company reported net income of $11.3 million or $1.02 per diluted share on net sales of $1,776.1 million compared to net income of $5.3 million or $0.49 per diluted share on net sales of $1,672.7 million for the same quarter year ago. The company reported income from operations of $16.1 million, income before income taxes of $16.1 million, and non-GAAP diluted earnings per share of $0.89 compared to the income from operations of $8.6 million, income before income taxes of $6.6 million, and non-GAAP diluted earnings per share of $0.76 a year ago. Net sales increased by approximately $170 million resulting from U.S. cigarette manufacturer price increases in response to the passage of the State Children's Health Insurance Program (SCHIP). For the nine months, the company reported net income of $38.8 million or $3.59 per diluted share on net sales of $4,879.7 million compared to net income of $10.5 million or $0.95 per diluted share on net sales of $4,552.7 million for the same period year ago. The company reported, income from operations of $56.3 million, income before income taxes of $57.2 million, net cash provided by operating activities of $56 million, additions to property and equipment of $13.5 million, and non-GAAP diluted earnings per share of $2.07 compared to the income from operations of $18 million, income before income taxes of $14.7 million, net cash provided by operating activities of $23.2 million, additions to property and equipment of $13.9 million, and non-GAAP diluted earnings per share of $1.44 a year ago. The company increased its annual guidance from $6.4 billion to $6.5 billion in net sales for 2009. This guidance contemplates an 8% to 10% decline in carton sales and relatively flat sales in the other product categories. Management lowered its expected capital expenditures from approximately $24 million to $22 million for 2009.

Core-Mark Holding Company, Inc., Q3 2009 Earnings Call, Nov-09-2009