The 10-second takeaway
For the quarter ended March 31 (Q3), Celadon Group beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share expanded significantly.
Margins improved across the board.
Celadon Group reported revenue of $153.2 million. The six analysts polled by S&P Capital IQ anticipated a top line of $149.1 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $135.6 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 $0.25. The nine earnings estimates compiled by S&P Capital IQ predicted $0.20 per share. GAAP EPS of $0.25 for Q3 were 178% higher than the prior-year quarter's $0.09 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 19.6%, 470 basis points better than the prior-year quarter. Operating margin was 6.9%, 660 basis points better than the prior-year quarter. Net margin was 3.7%, 220 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $160.5 million. On the bottom line, the average EPS estimate is $0.31.
Next year's average estimate for revenue is $593.4 million. The average EPS estimate is $0.99.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 128 members out of 146 rating the stock outperform, and 18 members rating it underperform. Among 43 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 36 give Celadon Group a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Celadon Group is buy, with an average price target of $18.31.
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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.