Ruth's Hospitality Group (NAS: RUTH) reported earnings on Feb. 10. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 25 (Q4), Ruth's Hospitality Group beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share contracted significantly.
Margins contracted across the board.
Ruth's Hospitality Group logged revenue of $99.6 million. The six analysts polled by S&P Capital IQ expected revenue of $95.5 million on the same basis. GAAP reported sales were 5.9% higher than the prior-year quarter's $94.1 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 $0.11. The six earnings estimates compiled by S&P Capital IQ predicted $0.10 per share on the same basis. GAAP EPS of $0.04 for Q4 were 56% lower than the prior-year quarter's $0.09 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 21.0%, 80 basis points worse than the prior-year quarter. Operating margin was 7.1%, 20 basis points worse than the prior-year quarter. Net margin was 2.6%, 230 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $100.7 million. On the bottom line, the average EPS estimate is $0.15.
Next year's average estimate for revenue is $388.0 million. The average EPS estimate is $0.43.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 217 members out of 247 rating the stock outperform, and 31 members rating it underperform. Among 67 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 61 give Ruth's Hospitality Group a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Ruth's Hospitality Group is outperform, with an average price target of $7.13.
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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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