EnergySolutions Increases Sales but Misses Estimates on Earnings

EnergySolutions (NYSE: ES  ) reported earnings on March 18. Here are the numbers you need to know.

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

Compared to the prior-year quarter, revenue grew slightly. Non-GAAP loss per share dropped. GAAP loss per share dropped.

Margins grew across the board.

Revenue details
EnergySolutions reported revenue of $480.0 million. The four analysts polled by S&P Capital IQ foresaw revenue of $459.6 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.

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 -$0.08. The two earnings estimates compiled by S&P Capital IQ predicted $0.16 per share. Non-GAAP EPS were -$0.08 for Q4 versus -$0.66 per share for the prior-year quarter. GAAP EPS were -$0.12 for Q4 against -$2.28 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 11.9%, much better than the prior-year quarter. Operating margin was 3.8%, much better than the prior-year quarter. Net margin was -2.3%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $506.1 million. On the bottom line, the average EPS estimate is $0.06.

Next year's average estimate for revenue is $1.78 billion. The average EPS estimate is $0.61.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 790 members out of 820 rating the stock outperform, and 30 members rating it underperform. Among 183 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 178 give EnergySolutions a green thumbs-up, and five give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on EnergySolutions is hold, with an average price target of $5.30.

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Read/Post Comments (3) | Recommend This Article (1)

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  • Report this Comment On March 20, 2013, at 11:49 AM, paddlinfaster wrote:

    How can there be a $5.30 Wall Street "price target" on this stock when it's going private at $3.75? Since I own some, I would LOVE for the deal at least at that skanky price not to go through, but I've not read anything to think otherwise.

  • Report this Comment On March 22, 2013, at 1:42 AM, woof19 wrote:

    I agree. I have shares and I'm not sure if it's worth holding on to them. Does anyone know when the cash payout for going private is supposed to be?

    If there's really a target of $5.30, maybe a few hundred buck on 2.50 calls might be intereesting. :)

  • Report this Comment On March 22, 2013, at 1:43 AM, woof19 wrote:

    Sorry. Not "going private", but "Bought out"

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