Nabors Industries Beats on EPS but GAAP Results Lag
Nabors Industries (NYS: NBR) reported earnings on Feb. 21. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Nabors Industries beat slightly on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share dropped to a loss.
Gross margin dropped, operating margin improved, and net margin dropped.
Nabors Industries reported revenue of $1.74 billion. The 18 analysts polled by S&P Capital IQ predicted a top line of $1.72 billion on the same basis. GAAP reported sales were 32% higher than the prior-year quarter's $1.32 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.52. The 25 earnings estimates compiled by S&P Capital IQ predicted $0.50 per share on the same basis. GAAP EPS were -$0.37 for Q4 compared to $0.19 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 37.5%, 370 basis points worse than the prior-year quarter. Operating margin was 16.1%, 1,420 basis points better than the prior-year quarter. Net margin was -6.1%, 990 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.82 billion. On the bottom line, the average EPS estimate is $0.53.
Next year's average estimate for revenue is $7.39 billion. The average EPS estimate is $2.24.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Nabors Industries is outperform, with an average price target of $25.52.
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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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