Harman Shares hit 5 year low

[4345]

Maybe they need to try and sell all products in all markets.





Harman hits 5-year-low after earnings miss
Monday August 18, 12:38 pm ET

Harman International Industries slides to 5-year-low after 4th-quarter earnings miss

CHICAGO (AP) -- Shares of electronics manufacturer Harman International Industries Inc. sank to a five-year low Monday, falling for the second-consecutive trading day after posting a fiscal fourth-quarter profit far below Wall Street forecasts.
The maker of audio and electronic products said after the closing bell Thursday that its fiscal fourth-quarter profit plunged 70 percent to $31.7 million, or 54 cents per share, on revenue of $1.07 billion.
Stripping out one-time items, the company reported an adjusted profit of 68 cents per share, missing analysts target by 9 cents.
Analysts polled by Thomson Reuters anticipated a higher profit of 77 cents per share.
After the Washington-based company's stock fell 14 percent Friday, it continued to sink Monday.
Shares shed $3.05, or 8.2 percent, to $33.95 in midday trading, after slumping to a low of $33.76 earlier in the session.

[4313B]

Maybe they need to try and sell all products in all markets.

Everything is at a 5 year low except maybe the bank account balances of the top 1% of the nation's wealthy.

[4345]

I think there are opportunities out there for the innovative. I think the JBL sales team needs to work harder. I hope they are not using the economy, class warfare or the national debt as excuses to not improve. I think they can do a better job.

By the way, my intent was not start a politcal debate. I just am mad that they do not market the nicer stuff in the USA.

[4313B]

Aug. 18 (Bloomberg) -- Fannie Mae and Freddie Mac tumbled in New York trading to their lowest levels in more than 17 years on concern the government will be forced to bail out the mortgage- finance companies, wiping out common stockholders.

Fannie slid 22 percent, while Freddie dropped 25 percent after Barron's reported that the Bush administration is anticipating the government-chartered companies will fail to raise the equity they need to offset credit losses, prompting the U.S. Treasury to act. The companies' stock market values are well below the minimum of $10 billion in capital that each would need to raise to ''have any credibility,'' Barron's said in its story.

I think they can do a better job.

:dont-know

I just am mad that they do not market the nicer stuff in the USA.

Yeah, me too. And we aren't the only ones.

[Titanium Dome]

We've been down this road before.

So let's say JBL offers some of its 4348s here in a special "Audioheritage Patriot's Special" at $10,000 a pair or the 4338 for proportionally less. Who here is going to pony up the money?

No one here is buying 1400 Arrays offered on AudiogoN for less than $7000 a pair. No one here is buying Performance Series gear at less than $4500 a pair (PS1400 + PT800 stacks) off Harmanaudio.com.

I just don't see it.

Perhaps we can flash back to 2005:

I'm getting the feeling that Harman knows their markets. Five guys in the U.S. wanting 4348's probably doesn't constitute a market. I have little doubt that if someone here had the cash and asked for a pair they'd end up getting a pair.

So who's going to man up and walk into Northridge with a $12k cashier's check and say, "I'd like two 4348s, please, and I'd like some change back." :dont-know

[Domino]

Don't forget the top 1% pay more in income tax than the bottom 90%.

[hjames]

Don't forget the top 1% pay more in income tax than the bottom 90%.

Really? a Higher percentage across the board on earnings than the rest pay?
Those figures are from ...?

[BMWCCA]

Don't forget the top 1% pay more in income tax than the bottom 90%.

Sounds like someone's been getting their news from Rush Limbaugh. Pleaser remember that in the USA, that top 1% means incomes over $364,657 per year, and that's in ADJUSTED gross income after all the tax advantages. That top 1% pay about 40% of all income taxes paid in the USA. The top 5% earn over $145,283, and the top 10% are all those over $103,912. The top 25% are those earning only over $62,000 and that 25% together pay 86% of all taxes while earning 60% of the total AGI. The entire bottom 50% in this country earn less than $30,881. So what does this bigger picture tell us? Mostly that there is a huge gap between the haves and the have-nots in this country, and these figures only cover those actually paying taxes. 50% of those filing tax returns earn less than $30,000.

Now I'm certainly not saying our government is spending your income taxes wisely, but: If you earn it off the backs of the workers, you should pay some of it back to the workers. Sure I'm a Marxist, but I come by it honestly!

And don't tell me that 1% take all the risk. We now know there is little risk for those top earners these days. The government will manipulate the markets and the interest rate to ensure you don't lose. Buy-outs and subsidies ensure the CEO's still have their golden parachutes (tax-free in some cases). And the millionaires made by selling air (radio frequencies for cell phones, for instance) are all government insiders with the connections to play those games that most of us just don't have (Virginia's Mark Warner). The only fact we can take from this is that the rich get richer and the poor get poorer. And if the top earners get all sanctimonious about how much they pay in tax, remember they pretty much own the politicians, the playing field, and the ball. The rest of us get to mow the field and keep the spilled Gatorade.

But then we've previously established that I am a bottom-feeder!

[4345]

I think a lot of people might. If you go back to the 50's I am sure that most Hartsfield buyers were not audiophiles like us. They were the Donald Trumps of their era or other well heeled non-audiophiles who wanted the best. I am sure most Ferrari owners know very little compared to the guy who tinkers with his 1979 Trans Am every weekend.

The audiophiles of the 50's were buying parts and putting things together, not buying Hartsfields. Yet it was these statement speakers that made JBL famous. I think they could and should do a better job of marketing the high end line in the U.S. I don't think it would be too expensive and the rewards might be big.

They also need to create a classic line that appeals to people more. I don't think the array series is it. I think the new Everest is nice, but 60K is probably too expensive.

[4313B]

And don't tell me that 1% take all the risk.

Privatized profit and socialized risk.

Who will buy the top end speakers?

I think a lot of people might.

If you can't carry it with you is isn't worth a rat's ass. That's the reality of today. I'm not sure how to make it more plain. JBL is huge into selling the tiny stuff just like everyone else.

They also need to create a classic line that appeals to people more.

For what? People want their sound buried in walls these days, and quite frankly, right where it belongs. There is little demand for big stuff cluttering up rooms anymore. Flat panels and in-wall or shallow mount loudspeakers rule.

[Mr. Widget]

You guys are all missing the point.

The stock market is simply a poor metric for the health, well being, and prosperity of a company. Frequently Apple stock will dive after an excellent quarter or a very successful new product launch... shareholders are little more than speculators. In the case of Apple, the shareholders guess that Apple will not be able to pull another rabbit out of the hat so they take profits and sell off their shares driving the price down only to have Apple surprise them with yet another "i" something or other.

The problem with Harman like most of corporate America, is that the business decisions are made based on the influence they will have on "the market" and not on what would be best for the company.

As for what JBL should or should not do, we've speculated on this subject ad nauseum.


Widget

[boputnam]

You guys are all missing the point.

The stock market is simply a poor metric for the health, well being, and prosperity of a company.

Not so.

Market valuations are the collective of millions and millions of investors - ideally all knowing the same information (thanks to SEC oversight). Valuations discount future prospects of a company/business plan. The current valuation of HAR comprises things revealed in it's current financials:

- deteriorating balance sheet (non-current liabilities increased 179%, largely due to that $400 million convert they issued).
- weak net-income (interest expense increased 5.8x y/y)
- weak cash-flows (guessing - their 10K is not released yet)

HAR had a +16% increase to top-line but reported -50% eps ($2.35 vs $4.14 y/y), and management continues to remind:

“We experienced another year of strong revenue growth in fiscal 2008, but our focus continues to be on execution and operational excellence to improve the bottom line,” said Dinesh Paliwal, Chairman and Chief Executive Officer. “We have strengthened our executive management team and we’ve taken aggressive actions to improve our cost base and global competitiveness. This includes changes to our manufacturing footprint, procurement, technology portfolio, and talent management. We are not satisfied with our earnings performance, but we are confident the actions we are taking will position Harman International to achieve strong results long-term.”

Their automotive segment now comprises 24% of sales, down from 33%, as auto sales worldwide are struggling with cost-of-living increases we all face. Worse, the earnings reveal they are cutting pricing to drive sales: Segment earnings dropped from 10.9% to 5.1% of the Group. Yikes. That's called "stuffing the channel" and suggests their revenues might have been fluffed by this for 4Q, to "make the Quarter".

Interesting - their Professional segment sales increased from 39% to 41% of Group, with contributions to income of 19.6% (up from 16.3%). That's good to see. Maybe Pro will not be allowed to die at the expense of consumer crap.

[Mr. Widget]

Not so.

With all due respect, I am afraid you are too close to the subject to have an objective perspective.

That said, even a stopped clock is correct twice a day.


Widget

[doyall]

... They also need to create a classic line that appeals to people more. ...

JBL to Unveil LS Series Loudspeakers at CEDIA Expo
Loudspeakers have 176ND high-frequency compression driver with 2-inch pure-titanium diaphragm.

JBL LS80 Loudspeaker



Aug
19

By Jason Knott
Filed in: News, Product News, Speakers, CEDIA
Comments (0), Ratings (0/5)
Print | Email | RSS Feed



08.19.2008 — JBL will be introducing its LS Series of loudspeakers at CEDIA Expo 2008 (booth 580).

The LS Series includes four models: a compact bookshelf loudspeaker (LS40), two floorstanding tower speakers (LS60, LS80) and a dedicated center channel loudspeaker (LS Center).

LS Series loudspeakers combine compression drivers with dynamic drivers to achieve wide dynamic range, transient response and transparency of compression drivers.

Each loudspeaker has a 176ND high-frequency compression driver with a 2-inch pure-titanium diaphragm. The 176ND driver operates in conjunction with a Bi-Radial horn that is shaped to provide optimum dispersion in the horizontal and vertical planes for a smooth, neutral frequency response both on- and off-axis.

The LS Series 015M ultrahigh-frequency driver is a 3/4-inch ring-radiator design that has a low-mass diaphragm and delivers frequency extension beyond 40kHz.

The 015M is mounted in an Elliptical Oblate Spheroidal (EOS) waveguide to provide accurate imaging and create a stereo or multichannel listening environment.

All LS Series woofers use proprietary PolyPlas polymer-coated-cellulose-fiber cone material for the bass.

The LS80 employs a 3-1/2-way crossover network that allows the woofers to operate in different frequency ranges, a configuration that provides a smoother transition of directivity between all drivers.

LS Series loudspeakers have curved contours and side panels that are tapered from the front to the back.

JBL LS Series loudspeakers will be available in a high-gloss stained wood finish.

MSRP for the LS Series loudspeakers range from $1,998 to $3,998 per pair.

[boputnam]

With all due respect...

People always say that when they are about to say: "Go pound sand"...

...I am afraid you are too close to the subject to have an objective perspective.

Not so. I don't own HAR, but I do know how markets work. They discount the future, sometimes, brutally.

That said, even a stopped clock is correct twice a day.

I don't understand this? I guess you are saying even I might be correct, sometime? Uh, not so...