AO Smith (NYSE: AOS) reported earnings on Jan. 24. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended Dec. 31 (Q4), AO Smith beat expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue grew and GAAP earnings per share grew significantly.

Margins increased across the board.

Revenue details
 AO Smith chalked up revenue of $524.3 million. The 13 analysts polled by S&P Capital IQ predicted revenue of $499.5 million on the same basis. GAAP reported sales were 10% higher than the prior-year quarter's $475.8 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $0.91. The 15 earnings estimates compiled by S&P Capital IQ predicted $0.81 per share. GAAP EPS of $0.84 for Q4 were 22% higher than the prior-year quarter's $0.69 per share. (The prior-year quarter included $0.01 per share in earnings from discontinued operations.)

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 35.4%, 280 basis points better than the prior-year quarter. Operating margin was 11.6%, 110 basis points better than the prior-year quarter. Net margin was 7.5%, 80 basis points better than the prior-year quarter.

Looking ahead
 Next quarter's average estimate for revenue is $506.3 million. On the bottom line, the average EPS estimate is $0.79.

Next year's average estimate for revenue is $2.08 billion. The average EPS estimate is $3.43.

Investor sentiment
 The stock has a five-star rating (out of five) at Motley Fool CAPS, with 157 members out of 161 rating the stock outperform, and four members rating it underperform. Among 46 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 44 give AO Smith 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 AO Smith is outperform, with an average price target of $63.56.

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