Shaw Communications Beats Analyst Estimates on EPS

Shaw Communications (NYSE: SJR  ) reported earnings on April 12. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Feb. 28 (Q2), Shaw Communications met expectations on revenues and beat expectations on earnings per share.

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

Gross margins grew, operating margins increased, net margins were steady.

Revenue details
Shaw Communications recorded revenue of $1.22 billion. The 13 analysts polled by S&P Capital IQ foresaw sales of $1.22 billion 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 $0.37. The 15 earnings estimates compiled by S&P Capital IQ averaged $0.35 per share. GAAP EPS of $0.37 for Q2 were 2.6% lower than the prior-year quarter's $0.38 per share.

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 37.9%, 250 basis points better than the prior-year quarter. Operating margin was 26.1%, 290 basis points better than the prior-year quarter. Net margin was 13.7%, much about the same as the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $1.29 billion. On the bottom line, the average EPS estimate is $0.45.

Next year's average estimate for revenue is $5.05 billion. The average EPS estimate is $1.62.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Shaw Communications is hold, with an average price target of $22.75.

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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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