MEMC Electronic Materials Goes Negative
MEMC Electronic Materials (NYS: WFR) reported earnings on Feb. 15. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), MEMC Electronic Materials missed estimates on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share shrank to a loss.
Margins dropped across the board.
MEMC Electronic Materials logged revenue of $717.8 million. The 13 analysts polled by S&P Capital IQ wanted to see a top line of $770.6 million on the same basis. GAAP reported sales were 16% lower than the prior-year quarter's $850.1 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 -$0.09. The 15 earnings estimates compiled by S&P Capital IQ predicted -$0.16 per share on the same basis. GAAP EPS were -$6.44 for Q4 compared to $0.05 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 5.3%, 830 basis points worse than the prior-year quarter. Operating margin was -9.3%, 1,220 basis points worse than the prior-year quarter. Net margin was -206.8%, 20,830 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $489.7 million. On the bottom line, the average EPS estimate is -$0.16.
Next year's average estimate for revenue is $2.67 billion. The average EPS estimate is $0.21.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,864 members out of 1,933 rating the stock outperform, and 69 members rating it underperform. Among 468 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 452 give MEMC Electronic Materials a green thumbs-up, and 16 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on MEMC Electronic Materials is hold, with an average price target of $6.44.
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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.