Complete Production Services Beats Analyst Estimates on EPS

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Complete Production Services (NYS: CPX) reported earnings on Jan. 27. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Complete Production Services met expectations on revenue and beat expectations on earnings per share.

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

Margins improved across the board.

Revenue details
Complete Production Services reported revenue of $626.8 million. The 11 analysts polled by S&P Capital IQ wanted to see sales of $635.2 million. Sales were 33% higher than the prior-year quarter's $472.8 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at $1.01. The 14 earnings estimates compiled by S&P Capital IQ anticipated $0.89 per share on the same basis. GAAP EPS of $0.75 for Q4 were 205% higher than the prior-year quarter's $0.49 per share.

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Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 38.5%, 270 basis points better than the prior-year quarter. Operating margin was 21.5%, 580 basis points better than the prior-year quarter. Net margin was 18.8%, 1,070 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $672.6 million. On the bottom line, the average EPS estimate is $0.91.

Next year's average estimate for revenue is $2.84 billion. The average EPS estimate is $3.99.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 337 members out of 351 rating the stock outperform, and 14 members rating it underperform. Among 107 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 107 give Complete Production Services a green thumbs-up, and none give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Complete Production Services is outperform, with an average price target of $40.04.

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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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