HSN (Nasdaq: HSNI ) reported earnings on Aug. 2. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), HSN met expectations on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue improved slightly and GAAP earnings per share improved.
Gross margins increased, operating margins expanded, net margins dropped.
HSN chalked up revenue of $767.2 million. The seven analysts polled by S&P Capital IQ looked for sales of $774.9 million on the same basis. GAAP reported sales were 6.4% higher than the prior-year quarter's $721.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.53. The seven earnings estimates compiled by S&P Capital IQ forecast $0.60 per share. GAAP EPS of $0.55 for Q2 were 1.9% higher than the prior-year quarter's $0.54 per share. (The prior-year quarter included -$0.01 per share in earnings from discontinued operations.)
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 38.2%, 20 basis points better than the prior-year quarter. Operating margin was 8.5%, 10 basis points better than the prior-year quarter. Net margin was 4.0%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $783.4 million. On the bottom line, the average EPS estimate is $0.44.
Next year's average estimate for revenue is $3.30 billion. The average EPS estimate is $2.39.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 53 members out of 90 rating the stock outperform, and 37 members rating it underperform. Among 34 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 27 give HSN a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on HSN is outperform, with an average price target of $47.07.
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