Hain Celestial Group Beats Analyst Estimates on EPS


Hain Celestial Group (NAS: HAIN) reported earnings on Feb. 1. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Hain Celestial Group met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share expanded significantly.

Gross margins shrank, operating margins were steady, and net margins dropped.

Revenue details
Hain Celestial Group reported revenue of $385.6 million. The nine analysts polled by S&P Capital IQ foresaw a top line of $386.4 million. Sales were 32% higher than the prior-year quarter's $291.9 million.


Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at $0.52. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.49 per share on the same basis. GAAP EPS of $0.44 for Q2 were 19% higher than the prior-year quarter's $0.37 per share.


Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 27.4%, 190 basis points worse than the prior-year quarter. Operating margin was 10.4%, about the same as the prior-year quarter. Net margin was 5.2%, 40 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $402.4 million. On the bottom line, the average EPS estimate is $0.49.

Next year's average estimate for revenue is $1.47 billion. The average EPS estimate is $1.70.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 284 members out of 300 rating the stock outperform, and 16 members rating it underperform. Among 93 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 91 give Hain Celestial Group a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hain Celestial Group is outperform, with an average price target of $37.80.

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At the time thisarticle 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.

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