The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Atlantic Power whiffed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share shrank to a loss. GAAP loss per share increased.
Gross margins contracted, operating margins expanded, net margins dropped.
Atlantic Power booked revenue of $114.0 million. The one analyst polled by S&P Capital IQ expected revenue of $156.9 million on the same basis. GAAP reported sales were 9.3% lower than the prior-year quarter's $125.6 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 -$0.39. The two earnings estimates compiled by S&P Capital IQ predicted -$0.05 per share. Non-GAAP EPS were -$0.39 for Q4 compared to $0.09 per share for the prior-year quarter. GAAP EPS were -$0.50 for Q4 versus -$0.26 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 29.2%, 940 basis points worse than the prior-year quarter. Operating margin was -3.2%, 400 basis points better than the prior-year quarter. Net margin was -50.9%, much worse than the prior-year quarter.
Next quarter's average estimate for revenue is $134.2 million. On the bottom line, the average EPS estimate is -$0.01.
Next year's average estimate for revenue is $576.7 million. The average EPS estimate is -$0.36.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 96 members out of 107 rating the stock outperform, and 11 members rating it underperform. Among 18 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 15 give Atlantic Power a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Atlantic Power is hold, with an average price target of $12.50.
Is Atlantic Power the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Click here for instant access to this free report.
- Add Atlantic Power 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 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.