The 10-second takeaway
For the quarter ended March 31 (Q1), Maidenform Brands beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share contracted significantly.
Margins shrank across the board.
Maidenform Brands logged revenue of $157.5 million. The four analysts polled by S&P Capital IQ expected sales of $154.0 million on the same basis. GAAP reported sales were 3.7% lower than the prior-year quarter's $163.6 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 $0.25. The six earnings estimates compiled by S&P Capital IQ predicted $0.24 per share. GAAP EPS of $0.25 for Q1 were 60% lower than the prior-year quarter's $0.62 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 27.2%, 690 basis points worse than the prior-year quarter. Operating margin was 6.2%, 820 basis points worse than the prior-year quarter. Net margin was 3.7%, 520 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $167.8 million. On the bottom line, the average EPS estimate is $0.58.
Next year's average estimate for revenue is $619.1 million. The average EPS estimate is $1.81.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 128 members out of 136 rating the stock outperform, and eight members rating it underperform. Among 61 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 59 give Maidenform Brands 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 Maidenform Brands is outperform, with an average price target of $25.00.
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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.