Pioneer Southwest Energy Partners
The 10-second takeaway
For the quarter ended June 30 (Q2), Pioneer Southwest Energy Partners crushed expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share grew significantly. GAAP earnings per share dropped significantly.
Gross margins grew, operating margins shrank, net margins dropped.
Pioneer Southwest Energy Partners logged revenue of $59.5 million. The three analysts polled by S&P Capital IQ predicted revenue of $47.5 million on the same basis. GAAP reported sales were 40% higher than the prior-year quarter's $42.6 million.
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 $0.57. The seven earnings estimates compiled by S&P Capital IQ predicted $0.52 per share. Non-GAAP EPS of $0.57 for Q2 were 21% higher than the prior-year quarter's $0.47 per share. GAAP EPS of $0.83 for Q2 were 54% lower than the prior-year quarter's $1.82 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 69.3%, 470 basis points better than the prior-year quarter. Operating margin was 52.5%, much worse than the prior-year quarter. Net margin was 50.3%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $49.4 million. On the bottom line, the average EPS estimate is $0.56.
Next year's average estimate for revenue is $194.5 million. The average EPS estimate is $2.11.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 166 members out of 177 rating the stock outperform, and 11 members rating it underperform. Among 55 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 51 give Pioneer Southwest Energy Partners a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Pioneer Southwest Energy Partners is hold, with an average price target of $29.70.
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