Green Mountain Coffee Roasters Soaring Following Earnings (GMCR)

Green Mountain Coffee Roasters Inc.

shares are soaring in extended-hours trading, up more than 15% after the company announced better than expected earnings, and raised guidance. The company reported second quarter earnings of 48 cents per share on revenues of $647.66 million, versus Wall Street estimates of 38 cents per share on $629.35 million in revenues. The company said it expects to earn 34 to 38 cents per share in the third quarter, and raised its fiscal 2011 earnings outlook, going from $1.19-$1.29 per share to $1.43-$1.50 per share. In addition, the company also said it would 7.1 million shares. “We believe healthy post-holiday in-store brewer inventory levels and positive word of mouth from enthusiastic Keurig owners combined to help drive a very strong fiscal second quarter for GMCR,” said Lawrence J. Blanford, GMCR's president and CEO. The Keurig® Single-Cup Brewing system brews a perfect cup of coffee, tea, hot cocoa or iced beverage in under one minute at the touch of a button. “We believe we are in the early stages of potential Keurig system adoption in North America and continue to work to scale our operations, processes and workforce to meet both the current and expected demands of the business,” said Blanford. “The addition of leading, nationally recognized brands like Dunkin' Donuts, Starbucks and Swiss Miss to the Keurig Single-Cup Brewing system expands customer choice within the system, fuels new excitement by current Keurig owners and users, raises system awareness, and has the potential to attract new consumers to the system.”