The 10-second takeaway
For the quarter ended June 30 (Q2), Gulfmark Offshore beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased. Non-GAAP earnings per share contracted. GAAP earnings per share contracted significantly.
Margins contracted across the board.
Gulfmark Offshore recorded revenue of $111.3 million. The six analysts polled by S&P Capital IQ wanted to see revenue of $105.3 million on the same basis. GAAP reported sales were 6.2% higher than the prior-year quarter's $104.9 million.
EPS came in at $0.44. The nine earnings estimates compiled by S&P Capital IQ predicted $0.33 per share. Non-GAAP EPS of $0.44 for Q2 were 6.4% lower than the prior-year quarter's $0.47 per share. GAAP EPS of $0.38 for Q2 were 28% lower than the prior-year quarter's $0.53 per share.
For the quarter, gross margin was 43.8%, 230 basis points worse than the prior-year quarter. Operating margin was 15.3%, 520 basis points worse than the prior-year quarter. Net margin was 8.9%, 450 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $119.2 million. On the bottom line, the average EPS estimate is $0.90.
Next year's average estimate for revenue is $444.2 million. The average EPS estimate is $2.39.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 438 members out of 444 rating the stock outperform, and six members rating it underperform. Among 94 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 93 give Gulfmark Offshore 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 Gulfmark Offshore is outperform, with an average price target of $47.33.
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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.