The 10-second takeaway
For the quarter ended March 31 (Q1), FreightCar America whiffed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly. Non-GAAP earnings per share dropped to a loss. GAAP earnings per share shrank to a loss.
Margins dropped across the board.
FreightCar America reported revenue of $87.6 million. The five analysts polled by S&P Capital IQ predicted sales of $112.3 million on the same basis. GAAP reported sales were 60% lower than the prior-year quarter's $219.1 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 -$0.18. The eight earnings estimates compiled by S&P Capital IQ anticipated $0.06 per share. Non-GAAP EPS were -$0.18 for Q1 against $0.81 per share for the prior-year quarter. GAAP EPS were -$0.22 for Q1 compared to $0.81 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 5.7%, 510 basis points worse than the prior-year quarter. Operating margin was 0.6%, 630 basis points worse than the prior-year quarter. Net margin was -3.0%, 740 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 738 members out of 780 rating the stock outperform, and 42 members rating it underperform. Among 199 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 190 give FreightCar America a green thumbs-up, and nine 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.