ABM Industries Inc. (ABM – Analyst Report) announced second quarter of fiscal year 2011 final results, offering a GAAP EPS of 26 cents in comparison with 16 cents from the year-ago quarter. The quarter observed some unique items, that in a negative way, impacted revenue per share to the extent of 2 cents. Not including these items, adjusted EPS in the announced quarter amounted to 28 cents versus 23 cents in the year-earlier quarter, exceeding the Zacks Consensus Estimate by a penny.
The gains elevated primarily because of a $4.7 million after-tax boost in Divisional running revenue and $2.3 million after-tax benefit from lower labor expenditure. These advantages had been partly offset by greater tax expense and fuel expenses. Throughout the quarter, net product sales improved approximately 24% year over year to $1.06 billion, slipping behind the Zacks Consensus Estimate of $1.07 billion. Revenues within the quarter primarily increased because of a $200 million share from the purchases made in 2010.
Costs of sales throughout the quarter had been up 23% annually to $949.6 million. Selling, general and administrative expenditures elevated 20% year over year to $78.3 million. Operating profit accelerated at a tremendous rate of 70.4% year over year to $26.5 million. For that reason, operating margins improved 70 basis points year over year to 2.5% throughout the quarter.
Despite the fact that earnings have demostrated a marked improvement within the first quarter, they mainly originated from acquisitions. ABM Industries