The 10-second takeaway
For the quarter ended March 31 (Q1), ICG Group beat expectations on revenue and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share contracted to a loss.
Margins dropped across the board.
ICG Group recorded revenue of $36.6 million. The two analysts polled by S&P Capital IQ expected revenue of $35.5 million on the same basis. GAAP reported sales were 7.9% higher than the prior-year quarter's $34.0 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 four earnings estimates compiled by S&P Capital IQ predicted -$0.11 per share. GAAP EPS were -$0.19 for Q1 versus $0.42 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 35.5%, 270 basis points worse than the prior-year quarter. Operating margin was -11.8%, 560 basis points worse than the prior-year quarter. Net margin was -19.2%, 6,600 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $42.6 million. On the bottom line, the average EPS estimate is -$0.10.
Next year's average estimate for revenue is $170.2 million. The average EPS estimate is -$0.37.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 59 members out of 71 rating the stock outperform, and 12 members rating it underperform. Among 18 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 14 give ICG Group a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on ICG Group is buy, with an average price target of $12.60.
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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.