The 10-second takeaway
For the quarter ended Dec. 31 (Q4), TETRA Technologies met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share grew significantly. GAAP loss per share dropped.
Margins grew across the board.
TETRA Technologies recorded revenue of $231.1 million. The seven analysts polled by S&P Capital IQ expected to see revenue of $233.1 million on the same basis. GAAP reported sales were 24% higher than the prior-year quarter's $186.2 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 $0.21. The nine earnings estimates compiled by S&P Capital IQ forecast $0.18 per share. Non-GAAP EPS of $0.21 for Q4 were 250% higher than the prior-year quarter's $0.06 per share. GAAP EPS were -$0.05 for Q4 compared to -$0.33 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 14.1%, 730 basis points better than the prior-year quarter. Operating margin was -1.8%, much better than the prior-year quarter. Net margin was -1.7%, much better than the prior-year quarter.
Next quarter's average estimate for revenue is $214.3 million. On the bottom line, the average EPS estimate is $0.10.
Next year's average estimate for revenue is $978.1 million. The average EPS estimate is $0.81.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 350 members out of 359 rating the stock outperform, and nine members rating it underperform. Among 92 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 90 give TETRA Technologies a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on TETRA Technologies is outperform, with an average price target of $10.57.
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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.