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.
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