Arabian American Development
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Arabian American Development met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly. Non-GAAP earnings per share shrank significantly. GAAP earnings per share shrank significantly.
Margins dropped across the board.
Arabian American Development reported revenue of $49.9 million. The one analyst polled by S&P Capital IQ predicted sales of $49.9 million on the same basis. GAAP reported sales were 19% lower than the prior-year quarter's $61.5 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 $0.12. The two earnings estimates compiled by S&P Capital IQ averaged $0.06 per share. Non-GAAP EPS of $0.12 for Q4 were 29% lower than the prior-year quarter's $0.17 per share. GAAP EPS of $0.08 for Q4 were 79% lower than the prior-year quarter's $0.38 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 13.8%, 270 basis points worse than the prior-year quarter. Operating margin was 5.5%, 490 basis points worse than the prior-year quarter. Net margin was 3.8%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $66.1 million. On the bottom line, the average EPS estimate is $0.08.
Next year's average estimate for revenue is $242.4 million. The average EPS estimate is $0.48.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 49 members out of 52 rating the stock outperform, and three members rating it underperform. Among 10 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 10 give Arabian American Development a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Arabian American Development is buy, with an average price target of $12.00.
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