Robbins & Myers Earnings Preview

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After beating estimates last quarter by $0.08, Robbins & Myers (NYS: RBN) has set the standard for itself. The company will unveil its latest earnings on Tuesday. Robbins & Myers is a supplier of engineered equipment and systems for critical applications in global energy, industrial, chemical, and pharmaceutical markets.

What analysts say:

  • Buy, sell, or hold?: Analysts strongly back Robbins & Myers, with seven of nine rating it a buy and the remainder rating it a hold. Analysts like Robbins & Myers better than competitor Colfax overall. Analysts haven't adjusted their rating of Robbins & Myers for the past three months.
  • Revenue forecasts: On average, analysts predict $237.9 million in revenue this quarter. That would represent a rise of 10.7% from the year-ago quarter.
  • Wall Street earnings expectations: The average analyst estimate is earnings of $0.74 per share. Estimates range from $0.70 to $0.76.

What our community says:
CAPS All-Stars are solidly behind the stock, with 96.4% granting it an outperform rating. The community at large agrees with the All-Stars, with 95.5% assigning it a rating of outperform. Despite the majority sentiment in favor of Robbins & Myers, the stock has a middling CAPS rating of three out of five stars.


Management:
Robbins & Myers' profit has risen year-over-year by an average of more than fourfold over the past five quarters. The company boosted its gross margin by 2.3 percentage points in the last quarter. Revenue rose 44.8% while cost of sales rose 39.3% to $141.8 million from a year earlier.

Now, a look at how efficient management has been at running the business. Traditionally, margins serve as an illustration of how efficiently a company captures portions of sales dollars. Robbins & Myers has seen increasing operating margins year-over-year for the last four quarters. Operating margins reflect the total sales revenue that the company retains after costs. Here is how Robbins & Myers has been doing for the last four quarters:

Quarter

Q1

Q4

Q3

Q2

Gross Margin

40.3%

38.7%

36.3%

35.5%

Operating Margin

22.2%

20.2%

16.3%

8.5%

Net Margin

14.9%

13.7%

29.9%

6.0%

For all our Robbins & Myers-specific analysis, including earnings and beyond, add Robbins & Myers to My Watchlist.

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Earnings estimates provided by Zacks.

At the time this article was published

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