Energy Transfer Equity Misses Where It Counts
Energy Transfer Equity (NYS: ETE) reported earnings on Feb. 15. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Energy Transfer Equity met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly, and GAAP earnings per share improved significantly.
Margins dropped across the board.
Energy Transfer Equity reported revenue of $2.18 billion. The four analysts polled by S&P Capital IQ expected to see a top line of $2.16 billion on the same basis. GAAP reported sales were 23% higher than the prior-year quarter's $1.78 billion.
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 $0.38. The five earnings estimates compiled by S&P Capital IQ forecast $0.42 per share. GAAP EPS of $0.38 for Q4 were 15% higher than the prior-year quarter's $0.33 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 26.3%, 220 basis points worse than the prior-year quarter. Operating margin was 15.7%, 280 basis points worse than the prior-year quarter. Net margin was 3.9%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.89 billion. On the bottom line, the average EPS estimate is $0.38.
Next year's average estimate for revenue is $8.78 billion. The average EPS estimate is $1.37.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 203 members rating the stock outperform and 13 members rating it underperform. Among 80 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 75 give Energy Transfer Equity a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Energy Transfer Equity is outperform, with an average price target of $46.38.
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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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