The 10-second takeaway
For the quarter ended March 31 (Q1), Vaalco Energy met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share shrank significantly.
Margins contracted across the board.
Vaalco Energy recorded revenue of $45.3 million. The one analyst polled by S&P Capital IQ expected revenue of $45.0 million on the same basis. GAAP reported sales were 3.2% lower than the prior-year quarter's $46.8 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 $0.15. The one earnings estimate compiled by S&P Capital IQ forecast $0.21 per share. GAAP EPS of $0.15 for Q1 were 21% lower than the prior-year quarter's $0.19 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 87.8%, 100 basis points worse than the prior-year quarter. Operating margin was 66.5%, 50 basis points worse than the prior-year quarter. Net margin was 19.9%, 410 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $43.7 million. On the bottom line, the average EPS estimate is $0.16.
Next year's average estimate for revenue is $210.0 million. The average EPS estimate is $0.91.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,514 members out of 1,561 rating the stock outperform, and 47 members rating it underperform. Among 302 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 296 give Vaalco Energy a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Vaalco Energy is hold, with an average price target of $7.50.
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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.