Gorman-Rupp Increases Sales but Misses Estimates on Earnings
Gorman-Rupp (ASE: GRC) reported earnings yesterday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Gorman-Rupp beat slightly on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Gorman-Rupp recorded revenue of $93.0 million. The four analysts polled by S&P Capital IQ hoped for a top line of $92.0 million. GAAP sales were 9.9% higher than the prior-year quarter's $84.7 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.34. The four earnings estimates compiled by S&P Capital IQ predicted $0.37 per share on the same basis. GAAP EPS of $0.24 for Q4 were 48% lower than the prior-year quarter's $0.46 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 21.2%, 830 basis points worse than the prior-year quarter. Operating margin was 7.9%, 880 basis points worse than the prior-year quarter. Net margin was 5.5%, 590 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $91.6 million. On the bottom line, the average EPS estimate is $0.33.
Next year's average estimate for revenue is $384.9 million. The average EPS estimate is $1.60.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 296 members out of 308 rating the stock outperform, and 12 members rating it underperform. Among 78 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 76 give Gorman-Rupp 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 Gorman-Rupp is buy, with an average price target of $37.67.
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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. 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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