Lexmark International's 2Q profit falls 80 percent

LEXMARK, Ky. - Lexmark International Inc. said Tuesday its second-quarter profit dropped 80 percent as the global recession slashed demand for copiers and printers as well as cartridges.

Net income attributable to common shareholders fell to $17 million, or 22 cents per share, down from $83.7 million, or 89 cents per share, last year.

However, excluding one-time charges, the company earned 55 cents per share.

Analysts polled by Thomson Reuters expected, on average, earnings per share of 60 cents. Such estimates typically exclude one-time charges.

Sales declined to $904.6 million from $1.14 billion, less than the $915.8 million analysts expected.

CEO Paul J. Curlander said "global economic conditions continue to negatively impact Lexmark and the overall distributed printing market."

Operating expenses in the three months ended in June declined to $253.1 million from $316.3 million.

The company also issued guidance for the third quarter that fell beneath Wall Street expectations.

In premarket trading, shares fell $1.27, or 6.8 percent, to $17.50.

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