HEALTHSOUTH (NYSE: HLS) reported earnings on July 25. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended June 30 (Q2), HEALTHSOUTH beat slightly on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded. Non-GAAP earnings per share increased significantly. GAAP earnings per share increased significantly.

Gross margins were steady, operating margins grew, net margins expanded.

Revenue details
 HEALTHSOUTH notched revenue of $564.5 million. The nine analysts polled by S&P Capital IQ expected to see net sales of $553.6 million on the same basis. GAAP reported sales were 5.8% higher than the prior-year quarter's $526.9 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $0.46. The 11 earnings estimates compiled by S&P Capital IQ predicted $0.42 per share. Non-GAAP EPS of $0.46 for Q2 were 21% higher than the prior-year quarter's $0.38 per share. (The prior-year quarter included $0.04 per share in earnings from discontinued operations.) GAAP EPS of $1.66 for Q2 were 286% higher than the prior-year quarter's $0.43 per share. (The prior-year quarter included $0.04 per share in earnings from discontinued operations.)

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 46.2%, much about the same as the prior-year quarter. Operating margin was 19.7%, 10 basis points better than the prior-year quarter. Net margin was 29.6%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
 Next quarter's average estimate for revenue is $554.3 million. On the bottom line, the average EPS estimate is $0.41.

Next year's average estimate for revenue is $2.26 billion. The average EPS estimate is $1.76.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on HEALTHSOUTH is outperform, with an average price target of $30.67.

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