LB Foster Misses on Both Revenue and Earnings

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LB Foster (NAS: FSTR) filed its 10-K on Thursday. Here are the numbers you need to know.

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

Compared to the prior-year quarter, revenue contracted, and GAAP earnings per share stayed the same.

Margins expanded across the board.

Revenue details
LB Foster reported revenue of $137.4 million. The three analysts polled by S&P Capital IQ foresaw net sales of $151.8 million on the same basis. GAAP reported sales were 7.1% lower than the prior-year quarter's $148 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 $0.60. The three earnings estimates compiled by S&P Capital IQ anticipated $0.66 per share. GAAP EPS of $0.60 were the same as the prior-year quarter.

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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 21.5%, 600 basis points better than the prior-year quarter. Operating margin was 9.3%, 160 basis points better than the prior-year quarter. Net margin was 4.4%, 20 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $118.1 million. On the bottom line, the average EPS estimate is $0.25.

Next year's average estimate for revenue is $600.7 million. The average EPS estimate is $2.77.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 440 members rating the stock outperform and 26 members rating it underperform. Among 104 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 103 give LB Foster a green thumbs-up, and one gives it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on LB Foster is outperform, with an average price target of $35.67.

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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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