The 10-second takeaway
For the quarter ended Dec. 31 (Q4), NiSource missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped significantly.
Margins dropped across the board.
NiSource tallied revenue of $1.45 billion. The two analysts polled by S&P Capital IQ anticipated a top line of $1.51 billion. Sales were 15% lower than the prior-year quarter's $1.67 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.31. The seven earnings estimates compiled by S&P Capital IQ predicted $0.35 per share on the same basis. GAAP EPS of $0.05 for Q4 were 55% lower than the prior-year quarter's $0.11 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 27.2%, 270 basis points worse than the prior-year quarter. Operating margin was 13.1%, 130 basis points worse than the prior-year quarter. Net margin was 1.0%, 90 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.67 billion. On the bottom line, the average EPS estimate is $0.75.
Next year's average estimate for revenue is $6.18 billion. The average EPS estimate is $1.44.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 147 members out of 173 rating the stock outperform, and 26 members rating it underperform. Among 53 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 52 give NiSource a green thumbs-up, and one gives it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on NiSource is hold, with an average price target of $23.
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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.