The 10-second takeaway
For the quarter ended Dec. 31 (Q4), BioScrip beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded, and GAAP earnings per share grew.
Margins improved across the board.
BioScrip tallied revenue of $483.3 million. The two analysts polled by S&P Capital IQ hoped for sales of $458.9 million on the same basis. GAAP reported sales were 7.3% higher than the prior-year quarter's $450.4 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 $0.13. The two earnings estimates compiled by S&P Capital IQ predicted $0.09 per share on the same basis. GAAP EPS were $0.12 for Q4 compared to -$1.25 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 16.9%, 80 basis points better than the prior-year quarter. Operating margin was 3.1%, 220 basis points better than the prior-year quarter. Net margin was 1.4%, 1,630 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $457.4 million. On the bottom line, the average EPS estimate is $0.11.
Next year's average estimate for revenue is $1.53 billion. The average EPS estimate is $0.44.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 131 members rating the stock outperform and 16 members rating it underperform. Among 34 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 31 give BioScrip a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on BioScrip is buy, with an average price target of $8.67.
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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.