Regal Entertainment Group
The 10-second takeaway
For the quarter ended Dec. 29 (Q4), Regal Entertainment Group missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share contracted significantly.
Gross margins grew, operating margins dropped, net margins dropped.
Regal Entertainment Group tallied revenue of $613.9 million. The 15 analysts polled by S&P Capital IQ expected a top line of $635.1 million on the same basis. GAAP reported sales were 7.1% lower than the prior-year quarter's $661.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.10. The nine earnings estimates compiled by S&P Capital IQ anticipated $0.02 per share on the same basis. GAAP EPS of $0.03 for Q4 were 67% lower than the prior-year quarter's $0.09 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 62.1%, 100 basis points better than the prior-year quarter. Operating margin was 6.2%, 180 basis points worse than the prior-year quarter. Net margin was 0.7%, 140 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $597.4 million. On the bottom line, the average EPS estimate is $0.00.
Next year's average estimate for revenue is $2.79 billion. The average EPS estimate is $0.60.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 147 members out of 186 rating the stock outperform, and 39 members rating it underperform. Among 60 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 48 give Regal Entertainment Group a green thumbs-up, and 12 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Regal Entertainment Group is outperform, with an average price target of $15.66.
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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.