The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Consolidated Edison missed on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped, and earnings per share contracted significantly.
Gross margins improved, operating margins dropped, net margins contracted.
Consolidated Edison booked revenue of $3.0 billion. The four analysts polled by S&P Capital IQ expected a top line of $3.3 billion. Sales were 5.5% lower than the prior-year quarter's $3.1 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.74. The 11 earnings estimates compiled by S&P Capital IQ forecast $0.71 per share on the same basis. GAAP EPS of $0.65 for Q4 were 18% lower than the prior-year quarter's $0.80 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 38.5%, 200 basis points better than the prior-year quarter. Operating margin was 15.5%, 20 basis points worse than the prior-year quarter. Net margin was 6.4%, 100 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $3.5 billion. On the bottom line, the average EPS estimate is $1.04.
Next year's average estimate for revenue is $14.1 billion. The average EPS estimate is $3.72.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 619 members out of 652 rating the stock outperform, and 33 members rating it underperform. Among 219 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 211 give Consolidated Edison a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Consolidated Edison is underperform, with an average price target of $55.96.
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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.
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