Lexmark Q3 profit jumps 50 per cent


18 October 2004 – Lexington (KY): Lexmark has posted a 50 per cent rise in Q3 net income amid strong demand for printers in both business and consumer markets.

Net income rose to $156.1 million, or EPS of $1.17, from $104.1 million, or EPS of $0.79 in the same period in 2003. Figures included a 15 per cent share gain from a tax settlement, the company said.

Revenue grew to $1.27 billion from $1.16 billion a year ago.

CEO Paul Curlander said that he expected Q4 results to be at the low-end of analyst expectations as the company plans to slash prices of its laser printers by about 35 per cent during the coming quarter to match rivals’ cuts.

He said: "What we saw in the consumer market in the third quarter makes us cautious for the fourth quarter…The company is cutting production to trim inventory."