Panhandle Oil and Gas Crushes Estimates

Seth Jayson, The Motley Fool
Updated

Panhandle Oil and Gas (NYS: PHX) reported earnings on Feb. 8. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Panhandle Oil and Gas crushed expectations on revenues and beat expectations on earnings per share.

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

Margins increased across the board.

Revenue details
Panhandle Oil and Gas reported revenue of $13.4 million. The one analyst polled by S&P Capital IQ predicted sales of $9.8 million. GAAP sales were 35% higher than the prior-year quarter's $9.8 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.41. The one earnings estimate compiled by S&P Capital IQ forecast $0.18 per share. GAAP EPS of $0.41 for Q1 were 141% higher than the prior-year quarter's $0.17 per share.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 79.6%, 550 basis points better than the prior-year quarter. Operating margin was 30.6%, 1,110 basis points better than the prior-year quarter. Net margin was 25.7%, 1,120 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $9.4 million. On the bottom line, the average EPS estimate is $0.14.

Next year's average estimate for revenue is $38.9 million. The average EPS estimate is $0.68.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 230 members rating the stock outperform and five members rating it underperform. Among 61 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 60 give Panhandle Oil and Gas a green thumbs-up, and one give it a red thumbs-down.

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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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