Hain Celestial Group
The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Hain Celestial Group met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share expanded significantly.
Gross margins shrank, operating margins were steady, and net margins dropped.
Hain Celestial Group reported revenue of $385.6 million. The nine analysts polled by S&P Capital IQ foresaw a top line of $386.4 million. Sales were 32% higher than the prior-year quarter's $291.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.52. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.49 per share on the same basis. GAAP EPS of $0.44 for Q2 were 19% higher than the prior-year quarter's $0.37 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 27.4%, 190 basis points worse than the prior-year quarter. Operating margin was 10.4%, about the same as the prior-year quarter. Net margin was 5.2%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $402.4 million. On the bottom line, the average EPS estimate is $0.49.
Next year's average estimate for revenue is $1.47 billion. The average EPS estimate is $1.70.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 284 members out of 300 rating the stock outperform, and 16 members rating it underperform. Among 93 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 91 give Hain Celestial Group a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hain Celestial Group is outperform, with an average price target of $37.80.
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