The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Teekay Tankers beat expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP loss per share shrank.
Gross margins shrank, operating margins shrank, net margins expanded.
Teekay Tankers reported revenue of $46.1 million. The five analysts polled by S&P Capital IQ predicted sales of $43.0 million on the same basis. GAAP reported sales were 13% lower than the prior-year quarter's $49.7 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 -$0.09. The seven earnings estimates compiled by S&P Capital IQ anticipated -$0.06 per share. GAAP EPS were -$0.12 for Q3 against -$0.28 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 38.7%, 1,190 basis points worse than the prior-year quarter. Operating margin was -10.5%, 1,620 basis points worse than the prior-year quarter. Net margin was -22.4%, 16,790 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $46.5 million. On the bottom line, the average EPS estimate is -$0.04.
Next year's average estimate for revenue is $167.6 million. The average EPS estimate is -$0.09.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 258 members out of 274 rating the stock outperform, and 16 members rating it underperform. Among 50 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 45 give Teekay Tankers 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 Teekay Tankers is outperform, with an average price target of $4.73.
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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.