Oil-Dri of America
The 10-second takeaway
For the quarter ended Oct. 31 (Q1), Oil-Dri of America beat expectations on revenues and whiffed on EPS. Gross margins widened, operating margins contracted, and net margins shrank.
Oil-Dri of America recorded revenue of $60 million. The one analyst polled by S&P Capital IQ hoped for revenue of $57 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
EPS came in at $0.15. The one earning estimate compiled by S&P Capital IQ forecast $0.37 per share. GAAP EPS of $0.15 for Q1 were 57% lower than the prior-year quarter's $0.35 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 23.8%, 30 basis points better than the prior-year quarter. Operating margin was 3%, 380 basis points worse than the prior-year quarter. Net margin was 1.8%, 270 basis points worse than the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods.
What does the future hold?
Next quarter's average estimate for revenue is $59 million. On the bottom line, the average EPS estimate is $0.26. (There is one revenue estimate and one EPS estimate.)
For the full year ending 2011, the average estimate for revenue is $224 million. The average EPS estimate is $1.06. (There is one revenue estimate and one EPS estimate.)
The stock has a four-star rating out of five at Motley Fool CAPS, with 150 members out of 160 rating the stock outperform and 10 members rating it underperform. Among 54 CAPS All-Star picks, 52 give Oil-Dri of America a green thumbs-up, and two give it a red thumbs-down.
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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. 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.