The 10-second takeaway
For the quarter ended March 31 (Q2), Hillenbrand beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP earnings per share shrank significantly.
Margins dropped across the board.
Hillenbrand recorded revenue of $259.7 million. The three analysts polled by S&P Capital IQ foresaw sales of $251.4 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $230.0 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 $0.50. The three earnings estimates compiled by S&P Capital IQ averaged $0.50 per share. GAAP EPS of $0.44 for Q2 were 17% lower than the prior-year quarter's $0.53 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 40.2%, 410 basis points worse than the prior-year quarter. Operating margin was 16.9%, 440 basis points worse than the prior-year quarter. Net margin was 10.6%, 370 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $235.6 million. On the bottom line, the average EPS estimate is $0.42.
Next year's average estimate for revenue is $971.7 million. The average EPS estimate is $1.81.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 331 members out of 336 rating the stock outperform, and five members rating it underperform. Among 101 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 101 give Hillenbrand a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hillenbrand is outperform, with an average price target of $27.67.
Can your portfolio provide you with enough income to last through retirement? You'll need more than Hillenbrand. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add Hillenbrand to My Watchlist.
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. The Motley Fool owns shares of Hillenbrand. Motley Fool newsletter services have recommended buying shares of Hillenbrand. 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.