Potlatch Misses on the Top and Bottom Lines
Potlatch (NAS: PCH) reported earnings on Jan. 31. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Potlatch missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted significantly and GAAP earnings per share improved significantly.
Margins dropped across the board.
Potlatch logged revenue of $109.9 million. The six analysts polled by S&P Capital IQ foresaw revenue of $117.3 million. Sales were 25% lower than the prior-year quarter's $146.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at -$0.01. The six earnings estimates compiled by S&P Capital IQ forecast $0.12 per share on the same basis. GAAP EPS were -$0.04 for Q4 compared to $0.23 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 13.8%, 520 basis points worse than the prior-year quarter. Operating margin was 1.7%, 670 basis points worse than the prior-year quarter. Net margin was -1.3%, 770 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $111.0 million. On the bottom line, the average EPS estimate is $0.18.
Next year's average estimate for revenue is $491.2 million. The average EPS estimate is $0.92.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Potlatch is hold, with an average price target of $32.
Over the decades, small-cap stocks like Potlatch have produced market-beating returns, provided they're value-priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: 2 Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add Potlatch to My Watchlist.
At the time this article was published 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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.