Central Garden & Pet
The 10-second takeaway
For the quarter ended Dec. 29 (Q1), Central Garden & Pet met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP loss per share grew.
Margins dropped across the board.
Central Garden & Pet recorded revenue of $292.5 million. The five analysts polled by S&P Capital IQ predicted revenue of $292.0 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.
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 -$0.32. The four earnings estimates compiled by S&P Capital IQ averaged -$0.28 per share. GAAP EPS were -$0.32 for Q1 compared to -$0.27 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 26.3%, 40 basis points worse than the prior-year quarter. Operating margin was -4.5%, 80 basis points worse than the prior-year quarter. Net margin was -5.2%, 90 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $496.5 million. On the bottom line, the average EPS estimate is $0.54.
Next year's average estimate for revenue is $1.73 billion. The average EPS estimate is $0.79.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 111 members out of 131 rating the stock outperform, and 20 members rating it underperform. Among 52 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 44 give Central Garden & Pet a green thumbs-up, and eight give it a red thumbs-down.
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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 has no position in any of the stocks mentioned. 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.