USEC Inc., the nation's only domestic supplier of enriched uranium, yesterday announced it will delay release of its fourth-quarter earnings until March, pending a possible restatement of earnings for three years.
Officials with the Bethesda company said they will decide over coming weeks whether to reduce earnings by $1 million a year for 2002 and 2003 while increasing earnings by $2 million for 2004.
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"The net effect is zero," said Steven Wingfield, a USEC spokesman. He described the possible restatement as "strictly a timing issue" concerning when the company recognizes revenue for a specific type of enriched-uranium sale.
Wingfield said the possible restatement has no connection to the abrupt December exit of longtime chief executive William H. Timbers. Company officials gave no reason for his departure, and the board has yet to find a replacement.
In its announcement yesterday, USEC also offered a preview of its expected full-year earnings for 2004. Officials said they anticipate reporting revenue of approximately $1.4 billion and profit in the range of $23 million to $27 million, higher than previously issued guidance of $18 million to $20 million.
David Schanzer, an energy analyst with Janney Montgomery Scott LLC in Philadelphia, said the potential restatement reflected the sensitivity about "accounting issues in today's day and age."
"From an investment perspective, chief among the concerns investors have is who the CEO will be, when will he be appointed," said Schanzer, who called the company's earnings projections promising.
