Xerox sees small-business sales increasing
Small-business customers of Xerox Corp. contributed significantly to the Norwalk-based giant”™s results in the first quarter.
Xerox sales were up 2 percent on a consolidated basis from the first quarter of 2010, to $5.5 billion in all. Xerox had a $289 million profit, versus a $34 million loss a year ago when it incurred additional costs as it finalized its acquisition of Affiliated Computer Services.
“We”™re seeing an increased importance of the low end of our business ”“ so the printing trends in small and ”¦ mid-sized businesses,” said CEO Ursula Burns, in a conference call with investment analysts in mid-April. “And we”™re responding to that by increasing our product intensity there and our distribution there, primarily through acquisitions.”
Xerox continues to face some uncertainty its Fuji-Xerox joint venture in Japan, due to the ongoing impact of the crisis there. Burns said rolling blackouts in Japan and other issues could impact some product deliveries in early summer but the company expects to work through any issues.
Xerox reduced its worldwide headcount by 2,400 positions in the first quarter, leaving it with slightly more than 134,000 workers entering April.
United Rentals CEO cites progress
Despite United Rentals Inc. producing another quarterly loss, CEO Michael Kneeland said the company fulfilled its promise of outperforming the rest of the equipment rental industry across several measures ”“ including increased rates.
Greenwich-based United Rentals cut its losses in half from a year ago to $20 million in the first quarter, as sales increased 9 percent to $523 million.
“Three months ago, we looked at 2011 and we made a bold statement that set us apart from the rest of the industry ”“ it was based on one word, it was outperform, ” Kneeland said, in a conference call. “We improved our time utilization 6.2 percentage points to a new first-quarter record. We raised our rental rates by 4.2 percentage points year-over-year and drove gross margins higher on every major revenue stream.”
Hubbell braces for commodities increases
Increased commodities costs are causing Hubbell Inc. to ratchet up prices on its customers, with the Shelton-based company selling electric connectors for use in buildings and power plants.
Hubbell sales amped up 15 percent to $658 million in the first quarter and the company recorded a $50.3 million profit.
In a conference call with investment analysts, CEO Timothy Powers said steel prices are up by at least 30 percent since the fourth quarter of 2010.
Crane ramps up sales, marketing
In the past five quarters, Crane Co. has increased its sales and marketing staff by more than 25 percent and is seeing results in several business lines.
Stamford-based Crane makes a mix of products featuring highly engineered materials, including aviation parts and systems, fluid valves, paneling for recreational vehicles and high-tech vending machines. In December 2010, Crane acquired Money Controls Ltd., a United Kingdom company that had $62 million in revenue last year selling coin acceptors and bill validators for use in casinos, transportation stations, arcades and other venues.
In the first quarter, Crane earned $48.5 million as sales increased 15 percent from a year ago to $611 million.
“Aerospace demand was stronger than expected in the first quarter,” said Eric Fast, CEO of Crane, in a conference call. “We feel like we”™re doing a much better job.”
ATMI sales hit $100M
For the first time in its history, ATMI Inc. sales cracked the $100 million-mark during a quarter, as the company earned $8 million on $101 million in revenue.
The Danbury-based company”™s leak-proof canisters are used to supply toxic gases in semiconductor factories and other plants.
“The wafer-start environment in the first quarter was slightly stronger than we expected it to be and our base business reflected that strength,” said CEO Doug Neugold, in a conference call. “We anticipate this trend to continue into the second quarter.”
Land transfer clears way for magnet school
Gov. Dannel P. Malloy signed a bill to transfer nearly 50 acres of land from Trumbull to Bridgeport, paving the way for a new magnet high school to be built there.
The proposed Fairchild-Wheeler MultiMagnet High School is expected to cost $126 million to build and to result in hundreds of jobs. Mayor Bill Finch said he hopes construction can begin this summer after an expedited review process by the city”™s zoning board.
The school”™s curricula will include concentrations in information technology, aviation and conservation.
Interactive Brokers teams with hedge fund
Interactive Brokers Group Inc. invested $3 million in the Quant Fund, with the goal of developing an unspecified new product focused on the sector.
Greenwich-based Interactive Brokers runs online trading platforms. In the first quarter, Interactive Brokers reported profits nearly equal to its revenue a year earlier, earning $203 million as revenue increased 75 percent to $368 million.
“We are going to come out with something in the next month or two where we will, in a way, be working with certain hedge funds,” said CEO Thomas Peterffy, in a conference call. “And that investment into the specific fund is to work together with them to evolve this scheme that we are going to come out with in the near future.”
Key auto property sold
DeMattia Cos. bought the former Key Lincoln Mercury dealership property in Bridgeport, with plans to use a portion as a warehouse and to lease as much as 10,000 square feet of space.
The property at 425 North Ave. had been owned by the Merriam family, which owns Key Auto Group in Milford and Manchester. Vidal/Wettenstein, the listing real estate broker, did not immediately reveal the sale price.
Bright Horizons renews lease
Bright Horizons Children”™s Centers Inc. renewed its lease at First Stamford Place where it offers daycare services.
Massachusetts-based Bright Horizons extended a lease through 2019 for 8,000 square feet at the building, which is owned by New York City-based Malkin Properties.
In Stamford, Bright Horizons also has centers at High Ridge Park and on Long Ridge Road, among eight locations in Fairfield County.
