SandRidge Energy Posts a Surprise Profit
SandRidge Energy (NYS: SD) reported earnings yesterday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), SandRidge Energy beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP loss per share expanded. The non-GAAP profit was a surprise, as analysts had predicted a loss.
Gross margins expanded, operating margins dropped, net margins dropped.
SandRidge Energy reported revenue of $373.8 million. The 14 analysts polled by S&P Capital IQ expected revenue of $339.2 million on the same basis. GAAP reported sales were 28% higher than the prior-year quarter's $293.1 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 $0.02. The 18 earnings estimates compiled by S&P Capital IQ predicted -$0.02 per share on the same basis. GAAP EPS were -$0.97 for Q4 against -$0.56 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 67.2%, 460 basis points better than the prior-year quarter. Operating margin was -90.3%, 5,430 basis points worse than the prior-year quarter. Net margin was -100.2%, 3,320 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $365.5 million. On the bottom line, the average EPS estimate is $0.00.
Next year's average estimate for revenue is $1.77 billion. The average EPS estimate is $0.14.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,403 members out of 1,447 rating the stock outperform, and 44 members rating it underperform. Among 379 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 372 give SandRidge Energy a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on SandRidge Energy is outperform, with an average price target of $10.82.
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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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