Giant Interactive Group Beats on Revenue, Matches Expectations on EPS
Giant Interactive Group (NYS: GA) reported earnings on Mar. 5. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Giant Interactive Group beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share expanded.
Gross margins dropped, operating margins grew, and net margins dropped.
Giant Interactive Group logged revenue of $78.4 million. The 11 analysts polled by S&P Capital IQ predicted a top line of $75.6 million on the same basis. GAAP reported sales were 41% higher than the prior-year quarter's $55.8 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.17. The nine earnings estimates compiled by S&P Capital IQ forecast $0.17 per share. GAAP EPS of $0.17 for Q4 were 13% higher than the prior-year quarter's $0.15 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 86.3%, 830 basis points worse than the prior-year quarter. Operating margin was 59.2%, 770 basis points better than the prior-year quarter. Net margin was 49.8%, 1,300 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $78.8 million. On the bottom line, the average EPS estimate is $0.18.
Next year's average estimate for revenue is $341.1 million. The average EPS estimate is $0.76.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 546 members out of 568 rating the stock outperform, and 22 members rating it underperform. Among 116 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 112 give Giant Interactive Group a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Giant Interactive Group is outperform, with an average price target of $6.72.
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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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