The 10-second takeaway
For the quarter ended Dec. 31 (Q4), ExamWorks Group beat expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP loss per share dropped.
Gross margins dropped, operating margins increased, net margins improved.
ExamWorks Group tallied revenue of $115.3 million. The four analysts polled by S&P Capital IQ expected to see revenue of $110.3 million on the same basis. GAAP reported sales were much higher than the prior-year quarter's $54.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at -$0.15. The four earnings estimates compiled by S&P Capital IQ averaged -$0.10 per share. GAAP EPS were -$0.15 for Q4 against -$0.20 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 34.1%, 160 basis points worse than the prior-year quarter. Operating margin was -0.3%, 420 basis points better than the prior-year quarter. Net margin was -4.4%, 560 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $117.6 million. On the bottom line, the average EPS estimate is -$0.10.
Next year's average estimate for revenue is $505.2 million. The average EPS estimate is -$0.16.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 10 members out of 15 rating the stock outperform, and five members rating it underperform. Among five CAPS All-Star picks (recommendations by the highest-ranked CAPS members), three give ExamWorks 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 ExamWorks Group is outperform, with an average price target of $10.25.
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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.