The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Tuesday Morning beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share dropped to a loss.
Margins dropped across the board.
Tuesday Morning booked revenue of $285.3 million. The one analyst polled by S&P Capital IQ expected revenue of $277.9 million on the same basis. GAAP reported sales were 4.5% higher than the prior-year quarter's $273.1 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 $0.37. The one earnings estimate compiled by S&P Capital IQ averaged $0.37 per share. GAAP EPS were -$0.51 for Q2 versus $0.37 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 21.6%, 1,680 basis points worse than the prior-year quarter. Operating margin was -7.9%, 1,720 basis points worse than the prior-year quarter. Net margin was -7.5%, 1,330 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $174.6 million. On the bottom line, the average EPS estimate is -$0.12.
Next year's average estimate for revenue is $824.9 million. The average EPS estimate is $0.12.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 228 members out of 268 rating the stock outperform, and 40 members rating it underperform. Among 81 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 69 give Tuesday Morning a green thumbs-up, and 12 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Tuesday Morning is outperform, with an average price target of $5.00.
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