Maidenform Brands Goes Red

Seth Jayson, The Motley Fool
Updated

Maidenform Brands (NYS: MFB) reported earnings on March 7. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Maidenform Brands beat expectations on revenue and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded and GAAP earnings per share dropped to a loss.

Margins dropped across the board.

Revenue details
Maidenform Brands recorded revenue of $124.5 million. The four analysts polled by S&P Capital IQ expected revenue of $117.0 million on the same basis. GAAP reported sales were 5.0% higher than the prior-year quarter's $118.6 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Non-GAAP EPS came in at $0.00. The five earnings estimates compiled by S&P Capital IQ predicted $0.02 per share on the same basis. GAAP EPS were -$0.13 for Q4 versus $0.29 per share for the prior-year quarter.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 23.5%, 1,150 basis points worse than the prior-year quarter. Operating margin was -3.9%, 1,470 basis points worse than the prior-year quarter. Net margin was -2.5%, 820 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $169.3 million. On the bottom line, the average EPS estimate is $0.41.

Next year's average estimate for revenue is $635.1 million. The average EPS estimate is $1.98.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 131 members out of 139 rating the stock outperform, and eight members rating it underperform. Among 64 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 62 give Maidenform Brands a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Maidenform Brands is hold, with an average price target of $24.50.

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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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