The 10-second takeaway
For the quarter ended March 31 (Q1), Vantage Drilling beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share expanded to zero.
Margins improved across the board.
Vantage Drilling tallied revenue of $131.8 million. The two analysts polled by S&P Capital IQ expected sales of $127.6 million on the same basis. GAAP reported sales were 45% higher than the prior-year quarter's $90.7 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 $0.00. The four earnings estimates compiled by S&P Capital IQ predicted -$0.01 per share. GAAP EPS dropped to zero from the prior-year quarter's -$0.06.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 47.4%, 3,270 basis points better than the prior-year quarter. Operating margin was 30.9%, 410 basis points better than the prior-year quarter. Net margin was -0.9%, 1,970 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $123.9 million. On the bottom line, the average EPS estimate is -$0.05.
Next year's average estimate for revenue is $547.2 million. The average EPS estimate is -$0.11.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 188 members out of 199 rating the stock outperform, and 11 members rating it underperform. Among 50 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 44 give Vantage Drilling 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 Vantage Drilling is outperform, with an average price target of $2.10.
Is Vantage Drilling the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Click here for instant access to this free report.
- Add Vantage Drilling 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.