The 10-second takeaway
For the quarter ended March 31 (Q1), Parker Drilling met expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share contracted significantly. GAAP earnings per share shrank to zero.
Margins dropped across the board.
Parker Drilling booked revenue of $167.2 million. The five analysts polled by S&P Capital IQ anticipated net sales of $167.1 million on the same basis. GAAP reported sales were 5.3% lower than the prior-year quarter's $176.6 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 $0.03. The six earnings estimates compiled by S&P Capital IQ predicted $0.00 per share. Non-GAAP EPS of $0.03 for Q1 were 86% lower than the prior-year quarter's $0.22 per share. GAAP EPS contracted to zero from the prior-year quarter's $0.22.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 30.0%, much worse than the prior-year quarter. Operating margin was 4.6%, much worse than the prior-year quarter. Net margin was 0.4%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $181.8 million. On the bottom line, the average EPS estimate is $0.06.
Next year's average estimate for revenue is $752.5 million. The average EPS estimate is $0.26.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 643 members out of 667 rating the stock outperform, and 24 members rating it underperform. Among 88 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 86 give Parker Drilling a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Parker Drilling is outperform, with an average price target of $6.13.
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