United Continental Holdings Misses Where it Counts
United Continental Holdings (NYS: UAL) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), United Continental Holdings met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew slightly. Non-GAAP earnings per share dropped. GAAP earnings per share grew significantly.
Margins grew across the board.
United Continental Holdings booked revenue of $10.00 billion. The nine analysts polled by S&P Capital IQ hoped for revenue of $9.98 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.
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 $1.35. The 14 earnings estimates compiled by S&P Capital IQ predicted $1.39 per share. Non-GAAP EPS of $1.35 for Q2 were 4.3% lower than the prior-year quarter's $1.41 per share. GAAP EPS of $1.21 for Q2 were 36% higher than the prior-year quarter's $0.89 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 29.1%, 220 basis points better than the prior-year quarter. Operating margin was 8.2%, 30 basis points better than the prior-year quarter. Net margin was 4.7%, 130 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $10.32 billion. On the bottom line, the average EPS estimate is $2.21.
Next year's average estimate for revenue is $38.11 billion. The average EPS estimate is $3.32.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 381 members out of 785 rating the stock outperform, and 404 members rating it underperform. Among 188 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 106 give United Continental Holdings a green thumbs-up, and 82 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on United Continental Holdings is outperform, with an average price target of $34.79.
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The article United Continental Holdings Misses Where it Counts 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 of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. 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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