Energy Transfer Partners Whiffs on Revenues

Energy Transfer Partners (NYSE: ETP) reported earnings on Nov. 7. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Energy Transfer Partners whiffed on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share expanded.

Gross margins expanded, operating margins expanded, net margins dropped.

Revenue details
Energy Transfer Partners logged revenue of $1.42 billion. The six analysts polled by S&P Capital IQ predicted revenue of $1.80 billion on the same basis. GAAP reported sales were 17% lower than the prior-year quarter's $1.72 billion.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.26. The 11 earnings estimates compiled by S&P Capital IQ predicted $0.30 per share. GAAP EPS were $0.26 for Q3 against -$0.19 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 30.6%, 450 basis points better than the prior-year quarter. Operating margin was 20.5%, 460 basis points better than the prior-year quarter. Net margin was 2.6%, 130 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $1.92 billion. On the bottom line, the average EPS estimate is $0.44.

Next year's average estimate for revenue is $6.04 billion. The average EPS estimate is $2.28.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 892 members out of 909 rating the stock outperform, and 17 members rating it underperform. Among 260 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 259 give Energy Transfer Partners a green thumbs-up, and one give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Energy Transfer Partners is hold, with an average price target of $49.77.

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