The 10-second takeaway
For the quarter ended Dec. 31 (Q4), EXCO Resources whiffed on revenue and whiffed on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP loss per share grew.
Gross margin grew, operating margin contracted, and net margin contracted.
EXCO Resources reported revenue of $178.9 million. The eight analysts polled by S&P Capital IQ predicted a top line of $235.1 million on the same basis. GAAP reported sales were 33% higher than the prior-year quarter's $134.9 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 $0.09. The 13 earnings estimates compiled by S&P Capital IQ forecast $0.18 per share on the same basis. GAAP EPS were -$0.78 for Q4 against -$0.34 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 68.2%, 100 basis points better than the prior-year quarter. Operating margin was -138.7%, 12,310 basis points worse than the prior-year quarter. Net margin was -93.2%, 3,920 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $198.9 million. On the bottom line, the average EPS estimate is $0.09.
Next year's average estimate for revenue is $960.1 million. The average EPS estimate is $0.59.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 456 members out of 478 rating the stock outperform, and 22 members rating it underperform. Among 107 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 106 give EXCO Resources 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 EXCO Resources is hold, with an average price target of $15.30.
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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.