The 10-second takeaway
For the quarter ended March 31 (Q1), AAON beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased slightly. GAAP earnings per share increased significantly.
Margins increased across the board.
AAON chalked up revenue of $66.8 million. The two analysts polled by S&P Capital IQ expected a top line of $65.6 million 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 $0.29. The two earnings estimates compiled by S&P Capital IQ averaged $0.22 per share. GAAP EPS of $0.29 for Q1 were 61% higher than the prior-year quarter's $0.18 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 22.9%, 210 basis points better than the prior-year quarter. Operating margin was 12.5%, 90 basis points better than the prior-year quarter. Net margin was 10.7%, 370 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $91.7 million. On the bottom line, the average EPS estimate is $0.40.
Next year's average estimate for revenue is $329.1 million. The average EPS estimate is $1.28.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 275 members out of 288 rating the stock outperform, and 13 members rating it underperform. Among 80 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 80 give AAON 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 AAON is hold, with an average price target of $28.00.
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