The 10-second takeaway
For the quarter ended Dec. 29 (Q4), Arden Group beat expectations on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share contracted. GAAP earnings per share grew significantly.
Gross margins shrank, operating margins expanded, net margins expanded.
Arden Group recorded revenue of $114.5 million. The one analyst polled by S&P Capital IQ looked for sales of $112.2 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 $1.41. The one earnings estimate compiled by S&P Capital IQ averaged $2.01 per share. Non-GAAP EPS of $1.41 for Q4 were 15% lower than the prior-year quarter's $1.65 per share. GAAP EPS of $1.96 for Q4 were 39% higher than the prior-year quarter's $1.41 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 37.1%, much worse than the prior-year quarter. Operating margin was 8.5%, 240 basis points better than the prior-year quarter. Net margin was 5.2%, 140 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 98 members out of 103 rating the stock outperform, and five members rating it underperform. Among 37 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 33 give Arden Group a green thumbs-up, and four 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.