Memory device maker SanDisk Corp. has a posted a surprisingly strong third-quarter profit after experiencing a period of unexpectedly high sales and income from previously written-down inventories. While the market for memory products went through rough times at the height of the economic downturn, companies like SanDisk have been enjoying an upturn in demand for their products.
SanDisk’s results prompted an 11 percent rise in the company’s shares, sending the value up to $23.81 in after-hours trading following reassuring statements issued by the company concerning their prospects for the fourth quarter and beyond. SanDisk has also experienced a massive recovery since …read more

Drugstore chain Rite Aid has posted a quarterly loss today and lowered its financial forecast for the rest of the year, citing the tough economic times and rising unemployment for its dire straits. According to Rite Aid, sales have fallen sharply, especially for non-pharmacy goods like food and cosmetics.
 
While Rite Aid has been in the process of implementing a new reward program, its rivals have been spending more money on promotion. Profit margins for pharmacies have also fallen due to lower reimbursement rates, and all of these trends are expected to continue at least into the holiday season, meaning that …read more

Procter & Gamble has experienced a general decline in sales since the onset of the recession as consumer spending falls along with sagging wages and rising unemployment. However, the household goods giant has stated that it expects its sales to recover throughout the fall as the company lowers prices and introduces more value brands.
 
After P&G released its predictions, its shares rose 4.2 percent, or $2.28, landing at $56.04. The company has told investors that it expects its prescription drug business to bring in 32 to 34 cents per share in profits this fiscal year, as well as a 1 to …read more

Missed opportunities can hurt your bottom line. If you had a natural tie-in to a big holiday or event, you’d be crazy not to take advantage of it, right? Yet companies miss the opportunity all the time.
When The Time Traveler’s Wife came out in theaters, I heard a lot from friends about how great the book was. While some wanted to see the movie and some didn’t, they all agreed the book was worth the time. Well, I love a good novel. So I made a point to stop by the bookstore when I had time. Since this was just …read more

If there is one company that has benefited from the economic downturn, it is the budget retail giant Wal-Mart, luring in more and more bargain hunting customers as Americans struggle to stretch their paychecks. Despite a noticeable slowdown in consumer spending across the board, Wal-Mart has managed to post an 88 cent-per-share profit, edging out their performance last year and topping analyst expectations.
Wal-Mart’s shares are up 2.5 percent in late-afternoon trading Thursday after having fallen 19 percent since September 2008. Analysts have credited the oft-maligned retail giant with improving its stores dramatically, cutting inventory and making its locations more desirable …read more

While many other major airlines have raised prices recently to accommodate for a global recession and other difficult factors, Southwest Airlines kicks off today its most massive sale in its history. Customers can benefit from fares starting at about $30 to around $90 and all of these discounted fares will be offered for flights between September 9 and November 18.
Although the discounted flights will not travel on Friday or Sunday, the sale is, for the most part, a very drastic move when compared to the rest of Southwest’s competitors. However, several airlines have announced that they would match Southwest’s sale …read more

Adobe Systems Inc., the software company renowned for creating programs like Adobe Photoshop and Adobe Acrobat, has released a report revealing its underperformance. In its fiscal second quarter, Adobe suffered a 41 percent decrease in profits and a general fall in sales of its core products.
 
According to Adobe, the recession is the main culprit, cutting demand for its creative tools in such a way that is to be expected in light of the weak economy. Profit is down from $214.9 million to $126.1 million, while revenue has dropped 21 percent to $704.7 million. These results are mostly in line with …read more

Few restaurants are quite as closely associated to America as McDonald’s, but interestingly enough, McDonald’s is currently thriving much more in other parts of the world. What’s more, McDonald’s has reported that growth continues to slow in the United States, perhaps signaling a shift in attention for the restaurant chain.
 
Unfortunately for McDonald’s, overall sales were down 0.4 percent in the month of May, mostly attributable to the strengthening dollar. However, U.S. stores have seen a general decline in growth, with May of last year bringing in a 4.3 percent increase in sales while this year, sales only increased 2.8 percent. …read more

A familiar presence on the breakfast table, General Mills has expressed an optimistic outlook for its 2009 earnings, stating that lower operating costs and a lower quarterly tax rate are responsible for the change. Understandably, investor confidence in General Mills increased enough to send its shares up 3.6 percent.
Things have been looking good for General Mills for the first nine months of their fiscal year, as sales are up 10 percent and volume is up 4 percent. The company places the praise with product innovation, asserting that General Mills’ wise investments in product development allowed them to ratchet up sales.
Analysts …read more

Can Wal-Mart ever make a mistake? Amidst an economic crisis that has left countless retailers reeling, Wal-Mart has enjoyed billion dollar profits and growing sales: just in April, Wal-Mart posted a 5 percent increase in sales. The only question mark in Wal-Mart’s plan surrounds Michael Duke, who just became the new CEO in February.
 
Wal-Mart has been experiencing a surge in new shoppers, with more than a quarter of sales coming from first-time Wal-Mart shoppers. Furthermore, Wal-Mart seems to be shedding its budget designation as the average income of the Wal-Mart shopper continues to rise. Because they tend to spend more …read more