The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Blount International met expectations on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Blount International chalked up revenue of $236.5 million. The one analyst polled by S&P Capital IQ expected revenue of $237.4 million on the same basis. GAAP reported sales were 38% higher than the prior-year quarter's $171.0 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 $0.19. The two earnings estimates compiled by S&P Capital IQ averaged $0.31 per share. GAAP EPS of $0.19 for Q4 were 24% lower than the prior-year quarter's $0.25 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 27.9%, 170 basis points worse than the prior-year quarter. Operating margin was 9.0%, 30 basis points worse than the prior-year quarter. Net margin was 4.0%, 320 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $239.4 million. On the bottom line, the average EPS estimate is $0.35.
Next year's average estimate for revenue is $1.00 billion. The average EPS estimate is $1.40.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 68 members out of 77 rating the stock outperform, and nine members rating it underperform. Among 28 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 26 give Blount International 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 Blount International is outperform, with an average price target of $20.00.
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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