Kraton Performance Polymers
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Kraton Performance Polymers whiffed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP earnings per share contracted to a loss.
Margins dropped across the board.
Kraton Performance Polymers booked revenue of $342.6 million. The eight analysts polled by S&P Capital IQ predicted sales of $389.9 million on the same basis. GAAP reported sales were 15% lower than the prior-year quarter's $402.0 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 -$0.33. The eight earnings estimates compiled by S&P Capital IQ forecast -$0.23 per share. GAAP EPS were -$0.49 for Q3 against $1.33 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 12.5%, 1,270 basis points worse than the prior-year quarter. Operating margin was -1.2%, 1,430 basis points worse than the prior-year quarter. Net margin was -4.5%, 1,520 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $317.7 million. On the bottom line, the average EPS estimate is $0.39.
Next year's average estimate for revenue is $1.49 billion. The average EPS estimate is $1.11.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 54 members out of 58 rating the stock outperform, and four members rating it underperform. Among 10 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 10 give Kraton Performance Polymers a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kraton Performance Polymers is outperform, with an average price target of $29.44.
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