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Whiting Petroleum Beats on Both Top and Bottom Lines

By Seth Jayson - Updated Apr 10, 2017 at 12:42PM

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Just the facts, Fool.

Whiting Petroleum (NYSE: WLL) reported earnings on April 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Whiting Petroleum beat expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue increased. Non-GAAP earnings per share contracted. GAAP earnings per share shrank.

Gross margins grew, operating margins dropped, net margins dropped.

Revenue details
Whiting Petroleum reported revenue of $613.4 million. The 16 analysts polled by S&P Capital IQ anticipated sales of $594.7 million on the same basis. GAAP reported sales were 9.8% higher than the prior-year quarter's $558.7 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.94. The 28 earnings estimates compiled by S&P Capital IQ averaged $0.91 per share. Non-GAAP EPS of $0.94 for Q1 were 8.7% lower than the prior-year quarter's $1.03 per share. GAAP EPS of $0.72 for Q1 were 13% lower than the prior-year quarter's $0.83 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 75.4%, 40 basis points better than the prior-year quarter. Operating margin was 26.0%, 500 basis points worse than the prior-year quarter. Net margin was 14.1%, 350 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $616.7 million. On the bottom line, the average EPS estimate is $0.90.

Next year's average estimate for revenue is $2.54 billion. The average EPS estimate is $3.78.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 692 members out of 713 rating the stock outperform, and 21 members rating it underperform. Among 102 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 98 give Whiting Petroleum a green thumbs-up, and four give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Whiting Petroleum is outperform, with an average price target of $61.55.

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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.

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Whiting Petroleum Corporation Stock Quote
Whiting Petroleum Corporation
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