CAE (TSX: CAE) reported earnings on Nov. 8. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Sep. 30 (Q2), CAE missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share didn't change.
Margins shrank across the board.
CAE reported revenue of $522.2 million. The 13 analysts polled by S&P Capital IQ predicted revenue of $534.2 million on the same basis. GAAP reported sales were 25% higher than the prior-year quarter's $417.3 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 $0.13. The 13 earnings estimates compiled by S&P Capital IQ anticipated $0.18 per share. GAAP EPS of $0.14 were the same as 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 28.0%, 370 basis points worse than the prior-year quarter. Operating margin was 12.1%, 250 basis points worse than the prior-year quarter. Net margin was 7.1%, 180 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $552.4 million. On the bottom line, the average EPS estimate is $0.20.
Next year's average estimate for revenue is $2.17 billion. The average EPS estimate is $0.79.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 91 members out of 100 rating the stock outperform, and nine members rating it underperform. Among 27 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 25 give CAE 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 CAE is outperform, with an average price target of $13.57.
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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. The Motley Fool has no positions in the stocks mentioned above. 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.