Standard Pacific Beats Estimates on Top and Bottom Lines

Standard Pacific (NYS: SPF) reported earnings on Feb. 6. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Standard Pacific beat expectations on revenues and on earnings per share.

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

Gross margins dropped, operating margins increased, and net margins expanded.

Revenue details
Standard Pacific booked revenue of $293.2 million. The five analysts polled by S&P Capital IQ foresaw revenue of $278.0 million. Sales were 38% higher than the prior-year quarter's $212.4 million.


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

EPS details
Non-GAAP EPS came in at $0.05. The six earnings estimates compiled by S&P Capital IQ anticipated $0.01 per share on the same basis. GAAP EPS were $0.04 for Q4 compared to -$0.09 per share for the prior-year quarter.


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 20.7%, 110 basis points worse than the prior-year quarter. Operating margin was 5.7%, 160 basis points better than the prior-year quarter. Net margin was 5.2%, 1,540 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $213.9 million. On the bottom line, the average EPS estimate is $0.01.

Next year's average estimate for revenue is $1.14 billion. The average EPS estimate is $0.08.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 350 members rating the stock outperform and 237 members rating it underperform. Among 186 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 77 give Standard Pacific a green thumbs-up, and 109 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Standard Pacific is hold, with an average price target of $4.41.

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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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