USEC 2Q EPS Beats Estimates

USEC, Inc. USU reported 2Q earnings of $0.04, $0.03 above estimates, and while showing progress on the ACP is better than expected, costs soared $4.6B during the quarter excluding financing costs, according to Jeffries & Company, Inc. Jeffries reports sales dropped 11%, SWU revenues down 11%, uranium revenues dropped 27%, while U.S. contract revenues grew 24%. Operating profits came in $0.05 above forecast, offset by higher taxes ($0.02) and a higher share count ($0.02). Jeffries maintains its "hold" rating and price target of $5. USEC, Inc. closed yesterady at $5.55.