PSS World Medical
The 10-second takeaway
For the quarter ended Sep. 28 (Q2), PSS World Medical met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue contracted significantly and GAAP earnings per share dropped significantly.
Gross margins expanded, operating margins shrank, net margins dropped.
PSS World Medical booked revenue of $420.8 million. The eight analysts polled by S&P Capital IQ anticipated net sales of $426.2 million on the same basis. GAAP reported sales were 19% lower than the prior-year quarter's $521.8 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 $0.25. The six earnings estimates compiled by S&P Capital IQ predicted $0.29 per share. GAAP EPS of $0.31 for Q2 were 16% lower than the prior-year quarter's $0.37 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 33.8%, 180 basis points better than the prior-year quarter. Operating margin was 6.4%, 60 basis points worse than the prior-year quarter. Net margin was 3.6%, 20 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $432.0 million. On the bottom line, the average EPS estimate is $0.30.
Next year's average estimate for revenue is $1.71 billion. The average EPS estimate is $1.11.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 61 members out of 75 rating the stock outperform, and 14 members rating it underperform. Among 30 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 25 give PSS World Medical a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on PSS World Medical is hold, with an average price target of $21.69.
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