The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Allegheny Technologies missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share dropped significantly.
Margins contracted across the board.
Allegheny Technologies booked revenue of $1.22 billion. The nine analysts polled by S&P Capital IQ expected to see sales of $1.30 billion on the same basis. GAAP reported sales were 9.8% lower than the prior-year quarter's $1.35 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 $0.48. The 12 earnings estimates compiled by S&P Capital IQ anticipated $0.39 per share. GAAP EPS of $0.32 for Q3 were 43% lower than the prior-year quarter's $0.56 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 13.3%, 360 basis points worse than the prior-year quarter. Operating margin was 5.8%, 390 basis points worse than the prior-year quarter. Net margin was 2.9%, 170 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.32 billion. On the bottom line, the average EPS estimate is $0.47.
Next year's average estimate for revenue is $5.33 billion. The average EPS estimate is $1.86.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Allegheny Technologies is outperform, with an average price target of $48.82.
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