Profit rises 59% for Eaton Vance

Eaton Vance Corp., the second-largest US manager of closed-end funds, said fiscal fourth-quarter profit rose 59 percent because of higher fund fees from investor deposits made earlier in the year.

Net income in the period ended Oct. 31 climbed to $61.4 million, or 47 cents a share, from $38.5 million, or 29 cents, a year earlier, the Boston company said. The average estimate of seven analysts surveyed by Bloomberg was 49 cents a share.

Assets under management jumped $32.8 billion to $161.7 billion in the 12 months through October. Net inflows slowed to a trickle in the fiscal fourth quarter, amounting to $2.2 billion.

Earnings were reduced by 5 cents a share because of costs connected to a reorganization earlier in the year and the issuance of $500 million in 10-year senior notes in September. Early retirement of long-term debt cut 6 cents a share from profit in the fourth quarter of fiscal 2006.

Revenue advanced 29 percent to $293.8 million, slowing from a pace of 32 percent in the previous three months. Operating expenses increased 21 percent to $188 million. (Bloomberg)

BJ's Wholesale Club Inc.'s third-quarter profit rose 24 percent, just beating Wall Street expectations, as results were boosted for the second straight quarter by strong sales of perishable foods.

The nation's number three retail warehouse club reported net income of $22.7 million, or 35 cents per share, for the period ended Nov. 3. That compared with a profit of $18.3 million, or 28 cents per share, in the same period a year ago, when profit was reduced 2 cents a share by costs to close restaurant supply locations.

The consensus estimate of analysts surveyed by Thomson Financial was 33 cents per share.

Revenue rose 8 percent to $2.17 billion from $2.01 billion in the year-ago quarter.

Sales at stores open at least a year rose 3.4 percent, and were up 4 percent excluding gasoline sales and pharmacy closures.

Natick-based BJ's also had strong sales of flat-screen TVs, offset by slow sales of apparel and automotive supplies. (AP)

Target Corp., the second-largest US discount chain, posted an unexpected decline in profit. The shares fell the most in two years.

Third-quarter net income fell 4.4 percent to $483 million, or 56 cents a share, from $506 million, or 59 cents, a year earlier, Target said. Analysts estimated average profit of 62 cents a share.

Revenue, which includes credit card payments, climbed 9.3 percent to $14.8 billion. Sales of more profitable clothing and home goods were "soft," Target said.

Target reduced sales forecasts in September and October after unseasonable weather led consumers to forsake sweaters, coats, and fleece.

The retailer said it will buy up to $10 billion of stock, which lost 27 percent of its value since setting a record in July. (Bloomberg)

Office Depot Inc., the world's second-largest office supplies retailer, said third-quarter earnings fell 9 percent as sales and profit declined at its North American stores.

The company also said it hired Peter J. Solomon Co. to review its capital structure.

Net income dropped to $117.5 million, or 43 cents a share, from $129.1 million, or 45 cents, a year earlier, Office Depot said. Profit was helped by a lower tax rate. Excluding the tax benefit, profit missed some analysts' estimates. Revenue rose 2 percent to $3.94 billion, missing the $3.95 billion average estimate of analysts.