The Gory Details on Thompson Creek Metals's Double Miss

Thompson Creek Metals (NYSE: TC  ) reported earnings on Feb. 25. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Thompson Creek Metals missed estimates on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped. GAAP earnings per share.

Gross margins expanded, operating margins grew, net margins contracted.

Revenue details
Thompson Creek Metals notched revenue of $99.4 million. The eight analysts polled by S&P Capital IQ anticipated a top line of $105.5 million on the same basis. GAAP reported sales were 15% lower than the prior-year quarter's $116.7 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 -$2.87. The 10 earnings estimates compiled by S&P Capital IQ predicted -$0.05 per share. GAAP EPS were -$2.87 for Q4 versus $0.00 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 30.4%, much better than the prior-year quarter. Operating margin was -10.5%, 500 basis points better than the prior-year quarter. Net margin was -487.3%, much worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $124.8 million. On the bottom line, the average EPS estimate is $0.04.

Next year's average estimate for revenue is $542.8 million. The average EPS estimate is $0.18.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,305 members out of 1,334 rating the stock outperform, and 29 members rating it underperform. Among 259 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 255 give Thompson Creek Metals a green thumbs-up, and four give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Thompson Creek Metals is hold, with an average price target of $4.34.

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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. The Motley Fool has no position in any of the stocks mentioned. 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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Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On February 26, 2013, at 9:19 AM, realfool56 wrote:

    Can you please comment on TC fall. You have also had high star ratings for AAPL, LVLT, PKD, and a 5 star rating for TC which absolutely cratered after earnings. Please comment on those big misses...thanks

  • Report this Comment On February 26, 2013, at 10:47 AM, Gilseki2U wrote:

    Seth never offers an opinion on specific stocks... NEVER. What he does offer is a restatement of earnings, a frequent breakdown of metrics and the opinions of others. Kind of like teats on a boar.

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