CMP 4Q10 Below J.P. Morgan Estimates

Yesterday, after the market close, Compass Minerals CMP reported 4Q:10 EPS from operations of $1.70 versus $1.88 in 4Q:09, “and our estimate of $1.87,” J.P. Morgan reports. The Street Consensus was $1.82. “The ($0.17)/share difference between the reported results and our forecast was due to lower operating income in the Salt segment due mainly to higher production costs,” J.P. Morgan writes. “Consolidated operating income of $82.7M compared to our forecast of $92.8M or ($0.22)/share. Other expense of ($3.4M) in the quarter (adjusted) versus our estimate of zero lowered EPS by ($0.07). A lower than expected tax rate of 22.3% vs. our estimate of 28.3% assisted EPS by +$0.12/sh.” Compass Minerals closed Tuesday at $94.40.