Titanium Metals Corp. (TIE:US) fell the most in eight months on the New York Stock Exchange after the maker of specialty metals for jet planes said higher costs reduced third-quarter profit and will continue to trim earnings.
Titanium Metals fell $2.05, or 6 percent, to $31.89 in composite trading (TIE:US), the biggest one-day drop since Feb. 27. The decline gave the Dallas-based company a market value of $5.17 billion.
Net income (TIE:US) was $53.7 million, or 29 cents a share after payment of preferred dividends, down from $54.2 million, or 29 cents, a year earlier, Titanium Metals said yesterday in a statement. The company was expected to earn 39 cents a share, the average estimate of two analysts in a Bloomberg survey.
Costs rose 15 percent, boosted by raw-materials prices and production expenses, erasing the benefit of a 9.4 gain in sales to $297.3 million. Results in the next several quarters will ``continue to reflect higher cost raw materials the company has already purchased,'' Titanium Metals said.
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