The 10-second takeaway
For the quarter ended Dec. 31 (Q4), DryShips missed estimates on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share dropped to a loss. GAAP loss per share grew.
Margins contracted across the board.
DryShips reported revenue of $282.9 million. The seven analysts polled by S&P Capital IQ anticipated a top line of $288.8 million on the same basis. GAAP reported sales were 14% lower than the prior-year quarter's $328.2 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 -$0.11. The nine earnings estimates compiled by S&P Capital IQ averaged -$0.13 per share. Non-GAAP EPS were -$0.11 for Q4 against $0.05 per share for the prior-year quarter. GAAP EPS were -$0.34 for Q4 compared to -$0.02 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 27.1%, much worse than the prior-year quarter. Operating margin was -16.8%, much worse than the prior-year quarter. Net margin was -45.9%, much worse than the prior-year quarter.
Next quarter's average estimate for revenue is $313.2 million. On the bottom line, the average EPS estimate is -$0.05.
Next year's average estimate for revenue is $1.47 billion. The average EPS estimate is -$0.01.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 2,897 members out of 3,257 rating the stock outperform, and 360 members rating it underperform. Among 538 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 436 give DryShips a green thumbs-up, and 102 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on DryShips is hold, with an average price target of $2.75.
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