Companies Report Mixed Results in Second Quarter

Strategic Insights -

McDonald's has announced a second round of price cuts on hamburgers in Japan, while Rockwell Electronic Commerce has secured a pact with RSL Com, an international telecom carrier. First Health Group Corp. has reported a higher profit in the second quarter, with revenue jumping 84% to $126.7 million.

Key Takeaways:

  • First Health Group Corp. reported a second-quarter profit of $23.3 million, an 8% increase from $21.4 million in the same period last year.
  • The group health-plan administrator's revenue jumped 84% to $126.7 million from $68.8 million in 1997.
  • Rockwell Electronic Commerce has secured a pact with RSL Com, an international telecom carrier, to provide its call-center system for RSL Com's Sydney-based customer service operations.
  • McDonald's Corp. has announced a second round of price cuts on hamburgers in Japan, following a successful sale in Tokyo and eastern Japan in July.
  • McDonald's Co., the Japanese 50-50 joint venture, has about 2,600 restaurants in Japan.
  • The price cut in western Japan, including Osaka, was made 10 days ahead of schedule.
  • Ericsson is the seller of Rockwell products in Australia and New Zealand.
  • RSL Com has more than 15,000 customers in the Pacific region.
  • Rockwell Electronic Commerce sells call-center technology for phone and Internet service.

Statistics:

  • $23.3 million: First Health Group Corp.'s second-quarter profit
  • 36 cents per share: First Health Group Corp.'s second-quarter earnings per share
  • 32 cents per share: First Health Group Corp.'s earnings per share in the same period last year
  • 84%: Increase in revenue for First Health Group Corp. from $68.8 million to $126.7 million
  • 2,600: Number of McDonald's restaurants in Japan
  • 15,000: Number of customers of RSL Com in the Pacific region

Sources:

  • Bloomberg News
  • First Health Group Corp.
  • Rockwell Electronic Commerce
  • Ericsson Australia Pty Ltd.
  • McDonald's Corp.