The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Celanese met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP earnings per share was unchanged.
Gross margins increased, operating margins contracted, net margins increased.
Celanese reported revenue of $1.50 billion. The 14 analysts polled by S&P Capital IQ expected a top line of $1.52 billion on the same basis. GAAP reported sales were 7.0% lower than the prior-year quarter's $1.61 billion.
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 $0.67. The 19 earnings estimates compiled by S&P Capital IQ averaged $0.64 per share. GAAP EPS of $0.59 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 17.8%, 90 basis points better than the prior-year quarter. Operating margin was 5.8%, 90 basis points worse than the prior-year quarter. Net margin was 6.3%, 40 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.63 billion. On the bottom line, the average EPS estimate is $0.83.
Next year's average estimate for revenue is $6.69 billion. The average EPS estimate is $4.34.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 352 members out of 381 rating the stock outperform, and 29 members rating it underperform. Among 97 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 93 give Celanese a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Celanese is outperform, with an average price target of $47.29.
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