The Gory Details on Bristow Group's Double Fumble

Bristow Group (NYS: BRS) reported earnings on Feb. 2. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q3), Bristow Group missed estimates on revenues and missed expectations on earnings per share.

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

Gross margins shrank, operating margins increased, net margins shrank.

Revenue details
Bristow Group chalked up revenue of $331.3 million. The three analysts polled by S&P Capital IQ expected net sales of $347.0 million. Sales were 4.2% higher than the prior-year quarter's $317.9 million.


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

EPS details
Non-GAAP EPS came in at $0.76. The three earnings estimates compiled by S&P Capital IQ predicted $0.88 per share on the same basis. GAAP EPS of $0.70 for Q3 were 38% lower than the prior-year quarter's $1.13 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 29.5%, 80 basis points worse than the prior-year quarter. Operating margin was 13.1%, 10 basis points better than the prior-year quarter. Net margin was 7.7%, 540 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $348.5 million. On the bottom line, the average EPS estimate is $1.00.

Next year's average estimate for revenue is $1.29 billion. The average EPS estimate is $3.14.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 233 members out of 240 rating the stock outperform, and seven members rating it underperform. Among 81 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 80 give Bristow 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 Bristow Group is outperform, with an average price target of $51.75.

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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. The Motley Fool owns shares of Bristow Group. The Fool owns shares of and has written calls on Bristow Group. 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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