The 10-second takeaway
For the quarter ended March 30 (Q1), Hanesbrands met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue dropped. GAAP earnings per share grew.
Margins grew across the board.
Hanesbrands reported revenue of $945.5 million. The seven analysts polled by S&P Capital IQ expected sales of $944.9 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 $0.51. The 10 earnings estimates compiled by S&P Capital IQ predicted $0.50 per share. GAAP EPS were $0.51 for Q1 against -$0.27 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 34.6%, 840 basis points better than the prior-year quarter. Operating margin was 9.0%, 780 basis points better than the prior-year quarter. Net margin was 5.4%, 820 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.20 billion. On the bottom line, the average EPS estimate is $0.89.
Next year's average estimate for revenue is $4.58 billion. The average EPS estimate is $3.43.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 190 members out of 230 rating the stock outperform, and 40 members rating it underperform. Among 71 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 61 give Hanesbrands a green thumbs-up, and 10 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hanesbrands is buy, with an average price target of $46.18.
Selling to fickle consumers is a tough business for Hanesbrands or anyone else in the space. But some companies are better equipped to face the future than others. In a new report, we'll give you the rundown on three companies that are setting themselves up to dominate retail. Click here for instant access to this free report.
- Add Hanesbrands to My Watchlist.