ABB (NYSE: ABB ) reported earnings on July 26. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), ABB missed estimates on revenues and earnings per share.
Compared with the prior-year quarter, revenue was unchanged and GAAP earnings per share shrank significantly.
Margins contracted across the board.
ABB tallied revenue of $9.66 billion. The 19 analysts polled by S&P Capital IQ looked for a top line of $9.97 billion on the same basis. GAAP reported sales were 0.2% lower than the prior-year quarter's $9.68 billion.
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 $0.33. The five earnings estimates compiled by S&P Capital IQ forecast $0.38 per share. GAAP EPS of $0.29 for Q2 were 26% lower than the prior-year quarter's $0.39 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 29.4%, 180 basis points worse than the prior-year quarter. Operating margin was 10.4%, 340 basis points worse than the prior-year quarter. Net margin was 6.8%, 240 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $10.02 billion. On the bottom line, the average EPS estimate is $0.37.
Next year's average estimate for revenue is $40.33 billion. The average EPS estimate is $1.44.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,777 members out of 1,820 rating the stock outperform, and 43 members rating it underperform. Among 296 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 290 give ABB a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on ABB is outperform, with an average price target of $23.22.
More Expert Advice from The Motley Fool
The Motley Fool's chief investment officer has selected his No. 1 stock for the next year. Find out which stock in our brand-new free report: "The Motley Fool's Top Stock for 2013
." I invite you to take a copy, free for a limited time. Just click here
to access the report and find out the name of this under-the-radar company.