First Cash Financial Services Misses on Revenues but Beats on EPS
First Cash Financial Services (NAS: FCFS) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), First Cash Financial Services missed estimates on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue increased. Non-GAAP earnings per share was unchanged. GAAP earnings per share shrank.
Gross margins increased, operating margins shrank, net margins contracted.
First Cash Financial Services reported revenue of $143.1 million. The 11 analysts polled by S&P Capital IQ predicted a top line of $151.5 million on the same basis. GAAP reported sales were 8.1% higher than the prior-year quarter's $132.4 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
EPS came in at $0.57. The eight earnings estimates compiled by S&P Capital IQ predicted $0.56 per share. Non-GAAP EPS of $0.57 were the same as the prior-year quarter. GAAP EPS of $0.53 for Q2 were 5.4% lower than the prior-year quarter's $0.56 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the quarter, gross margin was 59.2%, 270 basis points better than the prior-year quarter. Operating margin was 17.0%, 190 basis points worse than the prior-year quarter. Net margin was 10.9%, 140 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $169.0 million. On the bottom line, the average EPS estimate is $0.65.
Next year's average estimate for revenue is $672.8 million. The average EPS estimate is $2.82.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 502 members out of 522 rating the stock outperform, and 20 members rating it underperform. Among 161 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 157 give First Cash Financial Services a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on First Cash Financial Services is outperform, with an average price target of $53.90.
Looking for alternatives to First Cash Financial Services? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add First Cash Financial Services to My Watchlist.
The article First Cash Financial Services Misses on Revenues but Beats on EPS 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. 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.
Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.