The 10-second takeaway
For the quarter ended March 31 (Q1), Vitacost.com beat expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP loss per share grew.
Margins dropped across the board.
Vitacost.com logged revenue of $83.6 million. The three analysts polled by S&P Capital IQ foresaw a top line of $76.3 million on the same basis. GAAP reported sales were 31% higher than the prior-year quarter's $63.8 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 -$0.20. The two earnings estimates compiled by S&P Capital IQ predicted -$0.04 per share. GAAP EPS were -$0.21 for Q1 against -$0.08 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 22.9%, 120 basis points worse than the prior-year quarter. Operating margin was -7.9%, 450 basis points worse than the prior-year quarter. Net margin was -7.8%, 430 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $76.1 million. On the bottom line, the average EPS estimate is -$0.07.
Next year's average estimate for revenue is $310.6 million. The average EPS estimate is -$0.25.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 27 members out of 36 rating the stock outperform, and nine members rating it underperform. Among 11 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), five give Vitacost.com 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 Vitacost.com is hold, with an average price target of $7.33.
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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.