The 10-second takeaway
For the quarter ended June 30 (Q3), Energizer Holdings missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly. Non-GAAP earnings per share increased significantly. GAAP earnings per share expanded significantly.
Gross margins dropped, operating margins grew, net margins increased.
Energizer Holdings booked revenue of $1.11 billion. The seven analysts polled by S&P Capital IQ predicted net sales of $1.14 billion on the same basis. GAAP reported sales were 1.1% lower than the prior-year quarter's $1.12 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
EPS came in at $1.57. The 11 earnings estimates compiled by S&P Capital IQ predicted $1.32 per share. Non-GAAP EPS of $1.57 for Q3 were 33% higher than the prior-year quarter's $1.18 per share. GAAP EPS of $1.38 for Q3 were 30% higher than the prior-year quarter's $1.06 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the quarter, gross margin was 45.9%, 110 basis points worse than the prior-year quarter. Operating margin was 14.7%, 240 basis points better than the prior-year quarter. Net margin was 7.8%, 160 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.12 billion. On the bottom line, the average EPS estimate is $1.60.
Next year's average estimate for revenue is $4.55 billion. The average EPS estimate is $6.90.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 316 members out of 337 rating the stock outperform, and 21 members rating it underperform. Among 132 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 130 give Energizer Holdings a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Energizer Holdings is outperform, with an average price target of $105.82.
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