The 10-second takeaway
For the quarter ended March 31 (Q1), Ormat Technologies beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew.
Margins increased across the board.
Ormat Technologies reported revenue of $132.4 million. The six analysts polled by S&P Capital IQ hoped for revenue of $110.6 million on the same basis. GAAP reported sales were 35% higher than the prior-year quarter's $97.8 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 $0.18. The six earnings estimates compiled by S&P Capital IQ forecast $0.08 per share. GAAP EPS were $0.17 for Q1 compared to -$0.20 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 30.1%, 1,480 basis points better than the prior-year quarter. Operating margin was 19.4%, 1,620 basis points better than the prior-year quarter. Net margin was 6.0%, 1,520 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $114.4 million. On the bottom line, the average EPS estimate is $0.10.
Next year's average estimate for revenue is $477.6 million. The average EPS estimate is $0.48.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 436 members out of 460 rating the stock outperform, and 24 members rating it underperform. Among 89 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 76 give Ormat Technologies a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ormat Technologies is outperform, with an average price target of $20.57.
Ormat Technologies investors who follow the energy business, will want to read about "One Stock to Own Before Nat Gas Act 2011 Becomes Law." Click here for instant access to this free report.
- Add Ormat Technologies 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. 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.