The Gory Details of Universal Stainless & Alloy Products' Earnings Miss

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Universal Stainless & Alloy Products (NAS: USAP) reported earnings on July 19. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), Universal Stainless & Alloy Products whiffed on revenues and whiffed on earnings per share.

Compared to the prior-year quarter, revenue expanded and GAAP earnings per share dropped significantly.


Margins shrank across the board.

Revenue details
Universal Stainless & Alloy Products reported revenue of $67.9 million. The one analyst polled by S&P Capital IQ looked for sales of $83.4 million on the same basis. GAAP reported sales were 7.2% higher than the prior-year quarter's $63.3 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 predicted $0.83 per share. GAAP EPS of $0.62 for Q2 were 22% lower than the prior-year quarter's $0.79 per share.

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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 17.0%, 220 basis points worse than the prior-year quarter. Operating margin was 10.8%, 340 basis points worse than the prior-year quarter. Net margin was 6.6%, 210 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $82.9 million. On the bottom line, the average EPS estimate is $0.99.

Next year's average estimate for revenue is $328.2 million. The average EPS estimate is $3.52.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 391 members out of 411 rating the stock outperform, and 20 members rating it underperform. Among 87 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 87 give Universal Stainless & Alloy Products a green thumbs-up, and give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Universal Stainless & Alloy Products is hold, with an average price target of $57.00.

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The article The Gory Details of Universal Stainless & Alloy Products' Earnings Miss originally appeared on Fool.com.

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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