How the Wheels Came Off Boise's Bus
Boise (NYS: BZ) reported earnings on Feb. 28. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Boise met expectations on revenue and whiffed on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Boise reported revenue of $600.4 million. The three analysts polled by S&P Capital IQ wanted to see revenue of $594.6 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $524.1 million.
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 $0.17. The four earnings estimates compiled by S&P Capital IQ predicted $0.20 per share on the same basis. GAAP EPS of $0.15 for Q4 were 53% lower than the prior-year quarter's $0.32 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 22.1%, 160 basis points worse than the prior-year quarter. Operating margin was 7.6%, 360 basis points worse than the prior-year quarter. Net margin was 2.7%, 230 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $605.3 million. On the bottom line, the average EPS estimate is $0.21.
Next year's average estimate for revenue is $2.38 billion. The average EPS estimate is $0.78.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 213 members out of 235 rating the stock outperform, and 22 members rating it underperform. Among 58 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 53 give Boise a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Boise is outperform, with an average price target of $9.13.
Can your portfolio provide you with enough income to last through retirement? You'll need more than Boise. Learn how to maximize your investment income in our free report: "Secure Your Future With 11 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add Boise to My Watchlist.
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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.