The 10-second takeaway
For the quarter ended Dec. 29 (Q4), Polypore International missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue shrank. Non-GAAP earnings per share dropped significantly. GAAP earnings per share contracted significantly.
Margins dropped across the board.
Polypore International chalked up revenue of $180.2 million. The 12 analysts polled by S&P Capital IQ wanted to see revenue of $190.5 million on the same basis. GAAP reported sales were 5.6% lower than the prior-year quarter's $191.0 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 $0.43. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.52 per share. Non-GAAP EPS of $0.43 for Q4 were 26% lower than the prior-year quarter's $0.58 per share. GAAP EPS of $0.37 for Q4 were 34% lower than the prior-year quarter's $0.56 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 35.2%, 570 basis points worse than the prior-year quarter. Operating margin was 19.4%, 350 basis points worse than the prior-year quarter. Net margin was 9.7%, 410 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $191.5 million. On the bottom line, the average EPS estimate is $0.52.
Next year's average estimate for revenue is $801.3 million. The average EPS estimate is $2.28.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 220 members out of 251 rating the stock outperform, and 31 members rating it underperform. Among 63 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 51 give Polypore International a green thumbs-up, and 12 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Polypore International is outperform, with an average price target of $41.80.
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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 recommends Polypore International. 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.