Goodrich Petroleum Increases Sales but Misses Estimates on Earnings

Goodrich Petroleum (NYSE: GDP  ) reported earnings on May 7. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Goodrich Petroleum whiffed on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue grew and GAAP loss per share contracted.

Gross margins dropped, operating margins grew, net margins improved.

Revenue details
Goodrich Petroleum booked revenue of $45.3 million. The 12 analysts polled by S&P Capital IQ anticipated revenue of $63.1 million on the same basis. GAAP reported sales were 9.9% higher than the prior-year quarter's $41.2 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at -$0.28. The 16 earnings estimates compiled by S&P Capital IQ predicted -$0.21 per share. GAAP EPS were -$0.53 for Q1 compared to -$0.68 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 68.1%, 1,340 basis points worse than the prior-year quarter. Operating margin was -25.6%, 510 basis points better than the prior-year quarter. Net margin was -39.1%, 1,710 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $72.2 million. On the bottom line, the average EPS estimate is -$0.07.

Next year's average estimate for revenue is $303.5 million. The average EPS estimate is $0.15.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 196 members out of 223 rating the stock outperform, and 27 members rating it underperform. Among 48 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 40 give Goodrich Petroleum a green thumbs-up, and eight give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Goodrich Petroleum is outperform, with an average price target of $21.81.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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