The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Flotek Industries missed slightly on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly, and GAAP earnings per share improved.
Margins expanded across the board.
Flotek Industries chalked up revenue of $74.9 million. The four analysts polled by S&P Capital IQ looked for revenue of $76.3 million on the same basis. GAAP reported sales were 58% higher than the prior-year quarter's $47.5 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 $0.02. The three earnings estimates compiled by S&P Capital IQ predicted $0.15 per share. GAAP EPS were $0.02 for Q4 compared to -$0.94 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 42.3%, 530 basis points better than the prior-year quarter. Operating margin was 20.8%, 760 basis points better than the prior-year quarter. Net margin was 1.3%, 5,740 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $77.9 million. On the bottom line, the average EPS estimate is $0.18.
Next year's average estimate for revenue is $330 million. The average EPS estimate is $0.89.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 760 members rating the stock outperform and 35 members rating it underperform. Among 181 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 171 give Flotek Industries a green thumbs-up, and 10 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Flotek Industries is buy, with an average price target of $16.50.
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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.