The 10-second takeaway
For the quarter ended June 30 (Q2), Quality Distribution met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share shrank significantly. GAAP earnings per share dropped to a loss.
Gross margins grew, operating margins dropped, net margins contracted.
Quality Distribution reported revenue of $239.3 million. The nine analysts polled by S&P Capital IQ expected revenue of $239.9 million on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $212.7 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 $0.20. The nine earnings estimates compiled by S&P Capital IQ forecast $0.20 per share. Non-GAAP EPS of $0.20 for Q2 were 17% lower than the prior-year quarter's $0.24 per share. GAAP EPS were -$1.18 for Q2 against $1.04 per share for the prior-year quarter.
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 26.2%, much better than the prior-year quarter. Operating margin was 6.5%, 110 basis points worse than the prior-year quarter. Net margin was -13.0%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $245.4 million. On the bottom line, the average EPS estimate is $0.24.
Next year's average estimate for revenue is $947.1 million. The average EPS estimate is $0.79.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 91 members out of 93 rating the stock outperform, and two members rating it underperform. Among 28 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 28 give Quality Distribution a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Quality Distribution is outperform, with an average price target of $10.44.
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