Earnings roundup: For now, Dell tops estimates

Dell Inc. beat analysts’ expectations in delayed earnings posted Tuesday, but the computer maker warned the results were preliminary and could change due to an intensifying federal investigation into the company’s accounting and financial reporting.

For the quarter ended Nov. 3, Dell earned $677 million, or 30 cents per share, on sales of $14.4 billion. That compared with earnings of $606 million, or 25 cents per share, in the third quarter last year, which were hurt by $442 million in charges Dell took to repair a faulty computer component and costs related to restructuring.

“Farm equipment maker Deere & Co. posted fourth-quarter profits Tuesday that rose 19 percent as higher prices offset sluggish sales, sending its stock price to an all-time high despite the company’s warning that its sales slowdown will continue into 2007.

Analysts say investors likely think Deere’s forecast of flat sales next year is too conservative. With crop prices on the rise and ethanol boosting demand for corn, farm income could grow and boost sales of Deere’s trademark green-and-yellow machinery.

“Bookstore operator Borders Group Inc. on Tuesday said its third-quarter loss widened as same-store sales edged down.

Its loss for the quarter ended Oct. 28 totaled $39.1 million, or 64 cents per share, compared with a loss of $14.1 million, or 20 cents per share during the same period last year.

Revenue rose 2 percent to $860.4 million from $845.8 million last year.

Analysts surveyed by Thomson Financial expected a loss of 64 cents on revenue of $838.9 million.

The company affirmed fourth-quarter earnings guidance of $1.80 to $2 per share, while analysts expect earnings of $1.94 per share.

For the year, the company sees earnings of 30 cents and 65 cents, while analysts expect earnings of 58 cents per share.