Panhandle Oil and Gas Crushes Estimates

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Panhandle Oil and Gas (NYS: PHX) reported earnings on Feb. 8. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Panhandle Oil and Gas crushed expectations on revenues and beat expectations on earnings per share.

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

Margins increased across the board.

Revenue details
Panhandle Oil and Gas reported revenue of $13.4 million. The one analyst polled by S&P Capital IQ predicted sales of $9.8 million. GAAP sales were 35% higher than the prior-year quarter's $9.8 million.

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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 $0.41. The one earnings estimate compiled by S&P Capital IQ forecast $0.18 per share. GAAP EPS of $0.41 for Q1 were 141% higher than the prior-year quarter's $0.17 per share.

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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 79.6%, 550 basis points better than the prior-year quarter. Operating margin was 30.6%, 1,110 basis points better than the prior-year quarter. Net margin was 25.7%, 1,120 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $9.4 million. On the bottom line, the average EPS estimate is $0.14.

Next year's average estimate for revenue is $38.9 million. The average EPS estimate is $0.68.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 230 members rating the stock outperform and five members rating it underperform. Among 61 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 60 give Panhandle Oil and Gas a green thumbs-up, and one give it a red thumbs-down.

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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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