Dresser-Rand Group Crushes Earnings Estimates
Dresser-Rand Group (NYS: DRC) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Dresser-Rand Group missed estimates on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly. GAAP earnings per share increased significantly.
Gross margins shrank, operating margins shrank, net margins expanded.
Dresser-Rand Group recorded revenue of $805.3 million. The nine analysts polled by S&P Capital IQ expected to see revenue of $835.3 million on the same basis. GAAP reported sales were 27% higher than the prior-year quarter's $635.8 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 $0.69. The 16 earnings estimates compiled by S&P Capital IQ averaged $0.57 per share. GAAP EPS of $0.69 for Q2 were 53% higher than the prior-year quarter's $0.45 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 24.6%, 180 basis points worse than the prior-year quarter. Operating margin was 10.8%, 60 basis points worse than the prior-year quarter. Net margin was 6.6%, 130 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $902.5 million. On the bottom line, the average EPS estimate is $0.93.
Next year's average estimate for revenue is $3.54 billion. The average EPS estimate is $3.30.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 245 members out of 255 rating the stock outperform, and 10 members rating it underperform. Among 75 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 74 give Dresser-Rand Group a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Dresser-Rand Group is outperform, with an average price target of $68.17.
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The article Dresser-Rand Group Crushes Earnings Estimates 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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