Graham (AMEX: GHM) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q1), Graham beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. GAAP earnings per share increased significantly.
Margins grew across the board.
Graham chalked up revenue of $28.3 million. The five analysts polled by S&P Capital IQ foresaw a top line of $25.6 million on the same basis. GAAP reported sales were 25% higher than the prior-year quarter's $22.5 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 $0.38. The four earnings estimates compiled by S&P Capital IQ forecast $0.22 per share. GAAP EPS of $0.38 for Q1 were 171% higher than the prior-year quarter's $0.14 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 35.4%, 770 basis points better than the prior-year quarter. Operating margin was 19.9%, much better than the prior-year quarter. Net margin was 13.5%, 730 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $26.9 million. On the bottom line, the average EPS estimate is $0.25.
Next year's average estimate for revenue is $112.7 million. The average EPS estimate is $1.11.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,041 members out of 1,070 rating the stock outperform, and 29 members rating it underperform. Among 181 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 176 give Graham a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Graham is outperform, with an average price target of $32.25.
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