Alpha Natural Resources Goes Red

Before you go, we thought you'd like these...
Before you go close icon

Alpha Natural Resources (NYS: ANR) reported earnings on Feb. 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Alpha Natural Resources missed estimates on revenues and missed expectations on earnings per share.

Compared with the prior-year quarter, revenue grew significantly and GAAP earnings per share dropped to a loss.

Gross margins dropped, operating margins grew, net margins dropped.

Revenue details
Alpha Natural Resources reported revenue of $2.07 billion. The 13 analysts polled by S&P Capital IQ expected net sales of $2.17 billion on the same basis. GAAP reported sales were much higher than the prior-year quarter's $993.1 million.

anImage

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Non-GAAP EPS came in at -$0.07. The 18 earnings estimates compiled by S&P Capital IQ averaged $0.27 per share on the same basis. GAAP EPS were -$3.34 for Q4 compared to $0.10 per share for the prior-year quarter.

anImage

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 16.2%, 590 basis points worse than the prior-year quarter. Operating margin was 0.8%, 70 basis points better than the prior-year quarter. Net margin was -35.4%, 3,670 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $2.06 billion. On the bottom line, the average EPS estimate is $0.32.

Next year's average estimate for revenue is $8.27 billion. The average EPS estimate is $1.42.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 821 members out of 859 rating the stock outperform, and 38 members rating it underperform. Among 217 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 207 give Alpha Natural Resources a green thumbs-up, and 10 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Alpha Natural Resources is outperform, with an average price target of $36.33.

Is Alpha Natural Resources the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Get instant access to this free report.

At the time this article was published

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners