The 10-second takeaway
For the quarter ended March 31 (Q1), Black Diamond missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share dropped to a loss. GAAP earnings per share contracted to a loss.
Margins contracted across the board.
Black Diamond chalked up revenue of $51.0 million. The nine analysts polled by S&P Capital IQ looked for a top line of $55.8 million on the same basis. GAAP reported sales were 9.9% higher than the prior-year quarter's $46.4 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 -$0.08. The six earnings estimates compiled by S&P Capital IQ averaged $0.04 per share. Non-GAAP EPS were -$0.08 for Q1 versus $0.10 per share for the prior-year quarter. GAAP EPS were -$0.10 for Q1 versus $0.10 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 37.7%, 240 basis points worse than the prior-year quarter. Operating margin was -3.4%, much worse than the prior-year quarter. Net margin was -5.9%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $39.2 million. On the bottom line, the average EPS estimate is -$0.07.
Next year's average estimate for revenue is $219.8 million. The average EPS estimate is $0.06.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 15 members out of 17 rating the stock outperform, and two members rating it underperform. Among three CAPS All-Star picks (recommendations by the highest-ranked CAPS members), two give Black Diamond a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Black Diamond is buy, with an average price target of $11.79.
Looking for alternatives to Black Diamond? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add Black Diamond to My Watchlist.
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.