The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Entercom Communications missed slightly on revenue and whiffed on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped significantly.
Margins contracted across the board.
Entercom Communications tallied revenue of $95.1 million. The two analysts polled by S&P Capital IQ predicted revenue of $97.0 million on the same basis. GAAP reported sales were 6.8% lower than the prior-year quarter's $102.1 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 $0.29. The one earnings estimate compiled by S&P Capital IQ averaged $0.33 per share on the same basis. GAAP EPS of $0.28 for Q4 were 38% lower than the prior-year quarter's $0.45 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 36.4%, 160 basis points worse than the prior-year quarter. Operating margin was 27.3%, 230 basis points worse than the prior-year quarter. Net margin was 11.1%, 580 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $82.3 million. On the bottom line, the average EPS estimate is -$0.01.
Next year's average estimate for revenue is $400.9 million. The average EPS estimate is $0.89.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 59 members out of 137 rating the stock outperform, and 78 members rating it underperform. Among 35 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 17 give Entercom Communications a green thumbs-up, and 18 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Entercom Communications is outperform, with an average price target of $14.00.
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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.