E-Commerce China Dangdang
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), E-Commerce China Dangdang beat expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP loss per share expanded.
Margins expanded across the board.
E-Commerce China Dangdang booked revenue of $204.9 million. The 11 analysts polled by S&P Capital IQ wanted to see revenue of $200.7 million on the same basis. GAAP reported sales were 44% higher than the prior-year quarter's $142.4 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 -$0.19. The nine earnings estimates compiled by S&P Capital IQ averaged -$0.25 per share. GAAP EPS were -$0.20 for Q3 versus -$0.15 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 15.2%, 140 basis points better than the prior-year quarter. Operating margin was -8.1%, 90 basis points better than the prior-year quarter. Net margin was -7.8%, 30 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $258.4 million. On the bottom line, the average EPS estimate is -$0.30.
Next year's average estimate for revenue is $824.9 million. The average EPS estimate is -$0.97.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 168 members out of 227 rating the stock outperform, and 59 members rating it underperform. Among 37 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 22 give E-Commerce China Dangdang a green thumbs-up, and 15 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on E-Commerce China Dangdang is hold, with an average price target of $6.60.
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