The 10-second takeaway
For the quarter ended Nov. 30 (Q2), Texas Industries met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP loss per share contracted.
Margins grew across the board.
Texas Industries logged revenue of $167.7 million. The seven analysts polled by S&P Capital IQ wanted to see sales of $166.1 million on the same basis. GAAP reported sales were 7.4% higher than the prior-year quarter's $156.1 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 -$0.36. The eight earnings estimates compiled by S&P Capital IQ predicted -$0.31 per share. GAAP EPS were -$0.40 for Q2 compared to -$0.75 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 7.0%, 520 basis points better than the prior-year quarter. Operating margin was -3.2%, 390 basis points better than the prior-year quarter. Net margin was -6.6%, 690 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $142.6 million. On the bottom line, the average EPS estimate is -$0.49.
Next year's average estimate for revenue is $689.5 million. The average EPS estimate is -$0.66.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 106 members out of 132 rating the stock outperform, and 26 members rating it underperform. Among 47 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 37 give Texas Industries a green thumbs-up, and 10 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Texas Industries is outperform, with an average price target of $45.43.
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