The 10-second takeaway
For the quarter ended June 30 (Q2), Chesapeake Utilities missed estimates on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share grew significantly.
Margins grew across the board.
Chesapeake Utilities recorded revenue of $83.9 million. The two analysts polled by S&P Capital IQ predicted a top line of $89.3 million on the same basis. GAAP reported sales were 3.4% lower than the prior-year quarter's $86.8 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 $0.52. The three earnings estimates compiled by S&P Capital IQ predicted $0.41 per share. GAAP EPS of $0.52 for Q2 were 41% higher than the prior-year quarter's $0.37 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 22.3%, 480 basis points better than the prior-year quarter. Operating margin was 12.5%, 350 basis points better than the prior-year quarter. Net margin was 6.0%, 190 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $82.5 million. On the bottom line, the average EPS estimate is $0.26.
Next year's average estimate for revenue is $402.6 million. The average EPS estimate is $2.66.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 94 members out of 102 rating the stock outperform, and eight members rating it underperform. Among 21 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 21 give Chesapeake Utilities a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Chesapeake Utilities is buy, with an average price target of $47.00.
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