Royal Dutch Shell
The 10-second takeaway
For the quarter ended March 31 (Q1), Royal Dutch Shell missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted. Non-GAAP earnings per share expanded slightly. GAAP earnings per share shrank.
Gross margins grew, operating margins increased, net margins dropped.
Royal Dutch Shell booked revenue of $112.81 billion. The four analysts polled by S&P Capital IQ hoped for net sales of $115.67 billion 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 $2.38. The seven earnings estimates compiled by S&P Capital IQ anticipated $2.10 per share. Non-GAAP EPS of $2.38 for Q1 were 1.7% higher than the prior-year quarter's $2.34 per share. GAAP EPS of $1.29 for Q1 were 7.9% lower than the prior-year quarter's $1.40 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 19.4%, 290 basis points better than the prior-year quarter. Operating margin was 11.9%, 180 basis points better than the prior-year quarter. Net margin was 7.1%, 20 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $122.91 billion. On the bottom line, the average EPS estimate is $1.93.
Next year's average estimate for revenue is $446.28 billion. The average EPS estimate is $8.29.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 14 members out of 15 rating the stock outperform, and one members rating it underperform. Among one CAPS All-Star picks (recommendations by the highest-ranked CAPS members), one give Royal Dutch Shell 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 Royal Dutch Shell is hold, with an average price target of $75.93.
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