Eastman Chemical (NYSE: EMN ) reported earnings on April 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Eastman Chemical missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share expanded significantly. GAAP earnings per share grew significantly.
Margins grew across the board.
Eastman Chemical recorded revenue of $2.31 billion. The 11 analysts polled by S&P Capital IQ hoped for a top line of $2.38 billion on the same basis. GAAP reported sales were 27% higher than the prior-year quarter's $1.82 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 $1.62. The 15 earnings estimates compiled by S&P Capital IQ anticipated $1.57 per share. Non-GAAP EPS of $1.62 for Q1 were 33% higher than the prior-year quarter's $1.22 per share. (The prior-year quarter included -$0.01 per share in earnings from discontinued operations.) GAAP EPS of $1.57 for Q1 were 40% higher than the prior-year quarter's $1.12 per share. (The prior-year quarter included -$0.01 per share in earnings from discontinued operations.)
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 26.7%, 300 basis points better than the prior-year quarter. Operating margin was 17.2%, 220 basis points better than the prior-year quarter. Net margin was 10.7%, 200 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $2.46 billion. On the bottom line, the average EPS estimate is $1.71.
Next year's average estimate for revenue is $9.54 billion. The average EPS estimate is $6.41.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 193 members out of 220 rating the stock outperform, and 27 members rating it underperform. Among 65 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 61 give Eastman Chemical 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 Eastman Chemical is outperform, with an average price target of $80.33.
Looking for alternatives to Eastman Chemical? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add Eastman Chemical to My Watchlist.