The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Hillenbrand beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share shrank significantly.
Margins shrank across the board.
Hillenbrand chalked up revenue of $305.2 million. The two analysts polled by S&P Capital IQ looked for revenue of $281.1 million on the same basis. GAAP reported sales were 32% higher than the prior-year quarter's $231.6 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 $0.41. The two earnings estimates compiled by S&P Capital IQ anticipated $0.37 per share. GAAP EPS of $0.23 for Q1 were 54% lower than the prior-year quarter's $0.50 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 36.2%, 430 basis points worse than the prior-year quarter. Operating margin was 7.9%, 690 basis points worse than the prior-year quarter. Net margin was 4.7%, 880 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $429.1 million. On the bottom line, the average EPS estimate is $0.52.
Next year's average estimate for revenue is $1.59 billion. The average EPS estimate is $1.88.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 375 members out of 380 rating the stock outperform, and five members rating it underperform. Among 137 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 137 give Hillenbrand a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hillenbrand is outperform, with an average price target of $26.00.
Looking for alternatives to Hillenbrand? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add Hillenbrand to My Watchlist.
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 recommends Hillenbrand. The Motley Fool owns shares of Hillenbrand. 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.