The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Talisman Energy missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased, and GAAP loss per share contracted.
Gross margins shrank, operating margins grew, and net margins improved.
Talisman Energy booked revenue of $2.05 billion. The six analysts polled by S&P Capital IQ anticipated sales of $2.11 billion on the same basis. GAAP reported sales were 11% higher than the prior-year quarter's $1.87 billion.
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 $0.11. The nine earnings estimates compiled by S&P Capital IQ predicted $0.20 per share on the same basis. GAAP EPS were -$0.11 for Q4 compared to -$0.31 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 67.0%, 420 basis points worse than the prior-year quarter. Operating margin was 25.3%, 1,390 basis points better than the prior-year quarter. Net margin was -5.6%, 1,070 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $2.08 billion. On the bottom line, the average EPS estimate is $0.22.
Next year's average estimate for revenue is $8.42 billion. The average EPS estimate is $0.91.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 545 members rating the stock outperform and 21 members rating it underperform. Among 147 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 143 give Talisman Energy a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Talisman Energy is outperform, with an average price target of $19.23.
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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.