Corporate News

Mexican airport operator Grupo Aeroportuario del Centro Norte, S.A.B. de C.V., known as OMA (Nasdaq: OMAB) (BMV:OMA), reports that terminal passenger traffic at its 13 airports increased 5.5% in January 2012, as compared to January 2011. Domestic traffic increased 9.2%, and international traffic decreased 8.1%.

Of total January traffic, 96.5% was commercial aviation and 3.5% was general aviation.

Shares of Cisco (Nasdaq: CSCO) are volatile in the post-market session Tuesday following its second-quarter report.

For the quarter, revenue rose about 10.8 percent year over year to $11.53 billion. The number exceeded views looking for revs of just $11.25 billion.

Net income made a strong 43.5 percent move higher from $1.52 billion during the same quarter last year to $2.18 billion in the recent quarter, or 40 cents per share. Adjusting for certain one-time items, EPS came in at a more robust 47 cents per share, which bested views calling for 43 cents.

Notably, Cisco increased its quarterly dividend by 33 percent to 8 cents per share. The annual yield on the dividend is a modest -- but appreciated -- 1.6 percent at the current trading price.

Not much was in the release with respect to specific segments. Product sales rose 10.7 percent while Service revs increased about 11 percent.

Gross margin improved from 60.2 percent last year to 61.3 percent as overall cost of sales moved 7.6 percent higher...slower than revenue growth.

"We are executing well on our three-year plan to drive earnings faster than revenue," commented CEO John Chambers. "Our operational focus continues to yield positive results - we hit our billion dollar expense reduction a quarter early – and our ongoing innovation enables our customers to solve their critical business needs. You will continue to see a focused and aggressive Cisco that is helping our customers use intelligent networks to transform their businesses."

Cisco see revs growth of 5 percent to 7 percent for the third-quarter, or about $11.4 to $11.6 billion. The Street currently expects revs of $11.46 billion. Pro-forma earnings are expected to be 45-47 cents per shares, vs. the analyst consensus estimate of 45 cents.

After initially moving higher, shares are about flat at last check.

Aflac Inc (NYSE: AFL) has priced $400 million (par value) of five-year fixed rate, senior notes with a coupon of 2.65%, and $350 million (par value) of 10-year fixed rate senior notes with a coupon of 4.00%. The five-year notes will be issued at a price of 99.911 to yield 2.669% and the 10-year notes will be issued at a price of 99.820 to yield 4.022%. The company intends to use the net proceeds from this offering to repay in full at maturity the Parent Company's $347 million aggregate principal amount of 1.87% Samurai notes due June 2012. The company intends to use the balance of the net proceeds for general corporate purposes, including capital contributions to subsidiaries, if needed.

Visa (NYSE: V) shares are trading sharply higher after hours Wednesday following better-than-expected first-quarter 2012 results. Shares last traded at $112.10, up over 4 percent from the close.

The company posted quarterly net income of $1.0 billion, or $1.49 per share, 4 cents better than the analyst estimate of $1.45. This was an increase of 21 percent over the prior year period.

Net operating revenue rose 14 percent from the first quarter of 2011 to $2.5 billion, which beat the consensus of $2.47 billion.

"Visa's core businesses drove a strong start to fiscal 2012. We achieved solid financial and operational performance as we continued to benefit from the secular shift to electronic payments. Consumers' desire to use our products is evident in the strong growth we see outside the U.S. and the resiliency we are seeing in the U.S. in the wake of debit regulation," said Joe Saunders, chairman and chief executive officer. "We are in the midst of executing on our strategy to address the new landscape in the United States and we are pleased with the early results of our efforts."

Payments volume growth was a positive 11 percent over the prior year at $994 billion. Cross-border volume growth, on a constant dollar basis, was a positive 13 percent. Total processed transactions, which represent transactions processed by VisaNet, for the quarter were 13.6 billion, an 8 percent increase over the prior year. Fiscal first-quarter 2012 service revenue was $1.2 billion, an increase of 14 percent versus the year-ago quarter. Service sales are recognized based on payments volume in the prior quarter.

Total operating expenses were $929 million for the quarter, a 7 percent increase over the prior year. Cash, cash equivalents, restricted cash, and available-for-sale investment securities were $7.9 billion at December 31, 2011. Visa's effective tax rate was 36 percent in the quarter.

The company also announced a $500 million buyback.

Shares of Groupon, Inc. (NASDAQ: GRPN) are trading down more than 8 percent in Wednesday's after-hours session of trading following a surprise fourth-quarter loss. The stock last traded at $22.20.

Revenue increased 194 percent year over year to $506.5 million, topping the Street’s consensus of $475.15. The company earned $318 million in international revenue and $188 million in the North American segment.

Operating income was $15.0 million in the quarter, compared with a loss from operations of $336.1 million in the fourth quarter of 2010.

Net loss attributable to common stockholders totaled $42.73 million, a substantial move in the right direction from the $378.6 million loss reported during last year's fourth quarter. The loss on a per share basis came in at $0.08 on a GAAP basis and $0.02 on a non-GAAP basis. This was well below the Street’s consensus of a $0.03 increase.

“Groupon had a strong fourth quarter and we finished 2011 having helped 250,000 local merchants across 47 countries grow their businesses while saving Groupon customers billions of dollars,” said Andrew Mason, CEO and Co-Founder of Groupon. “We will continue to invest in new services and tools that help our merchant partners be more successful and drive local commerce around the world.”

Operating cash flow increased 226 percent year over year to $169.1 million, while free cash flow grew 258 percent to $155.1 million.

For the first quarter of 2012, revenue is expected to be between $510 million and $550 million, while income from operations is expected to be between $15 million and $35 million. The Street is calling for $500.89 million in sales.