The 10-second takeaway
For the quarter ended March 31 (Q3), Pike Electric beat slightly on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share grew significantly.
Margins improved across the board.
Pike Electric logged revenue of $162.8 million. The seven analysts polled by S&P Capital IQ foresaw revenue of $160.4 million on the same basis. GAAP reported sales were 5.8% higher than the prior-year quarter's $153.8 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 $0.06. The seven earnings estimates compiled by S&P Capital IQ forecast $0.08 per share. GAAP EPS of $0.06 for Q3 were 200% higher than the prior-year quarter's $0.02 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 12.6%, 190 basis points better than the prior-year quarter. Operating margin was 2.7%, 100 basis points better than the prior-year quarter. Net margin was 1.2%, 80 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $170.2 million. On the bottom line, the average EPS estimate is $0.10.
Next year's average estimate for revenue is $675.5 million. The average EPS estimate is $0.39.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 85 members out of 93 rating the stock outperform, and eight members rating it underperform. Among 33 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 31 give Pike Electric a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Pike Electric is outperform, with an average price target of $12.75.
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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.