Melco Crown Entertainment Beats Estimates on Top and Bottom Lines
Melco Crown Entertainment (NAS: MPEL) reported earnings yesterday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Melco Crown Entertainment beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share expanded significantly.
Gross margins dropped, operating margins grew, net margins grew.
Melco Crown Entertainment recorded revenue of $1.01 billion. The five analysts polled by S&P Capital IQ anticipated a top line of $977.4 million. GAAP sales were 30% higher than the prior-year quarter's $773.7 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.20. The five earnings estimates compiled by S&P Capital IQ forecast $0.17 per share. GAAP EPS of $0.20 for Q4 were much higher than the prior-year quarter's $0.03 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 28.6%, 17,190 basis points worse than the prior-year quarter. Operating margin was 13.3%, 720 basis points better than the prior-year quarter. Net margin was 10.7%, 860 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $986.5 million. On the bottom line, the average EPS estimate is $0.13.
Next year's average estimate for revenue is $4.03 billion. The average EPS estimate is $0.54.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,295 members out of 1,348 rating the stock outperform, and 53 members rating it underperform. Among 356 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 341 give Melco Crown Entertainment a green thumbs-up, and 15 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Melco Crown Entertainment is outperform, with an average price target of $15.89.
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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.