Harsco Beats Analyst Estimates on EPS

Seth Jayson, The Motley Fool
Updated

Harsco (NYS: HSC) reported earnings on May 9. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended March 31 (Q1), Harsco met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped. GAAP earnings per share grew.


Gross margins were steady, operating margins grew, net margins grew.

Revenue details
 Harsco recorded revenue of $715.4 million. The seven analysts polled by S&P Capital IQ hoped for sales of $715.9 million 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 details
 EPS came in at $0.09. The seven earnings estimates compiled by S&P Capital IQ anticipated $0.05 per share. GAAP EPS were $0.09 for Q1 compared to -$0.37 per share for the prior-year quarter.

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 21.1%, much about the same as the prior-year quarter. Operating margin was 3.6%, 10 basis points better than the prior-year quarter. Net margin was 1.0%, 490 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
 Next quarter's average estimate for revenue is $754.9 million. On the bottom line, the average EPS estimate is $0.34.

Next year's average estimate for revenue is $3.00 billion. The average EPS estimate is $1.19.

Investor sentiment
 The stock has a three-star rating (out of five) at Motley Fool CAPS, with 271 members out of 281 rating the stock outperform, and 10 members rating it underperform. Among 61 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 60 give Harsco 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 Harsco is hold, with an average price target of $27.20.

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The article Harsco Beats Analyst Estimates 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 ofMotley 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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