Mobile Mini Misses on Both Revenue and Earnings

Seth Jayson, The Motley Fool
Updated

Mobile Mini (NAS: MINI) filed its 10-K on Feb. 29. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Mobile Mini missed estimates on revenue and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue grew and GAAP earnings per share expanded significantly.

Gross margin expanded, operating margin contracted, and net margin increased.

Revenue details
Mobile Mini chalked up revenue of $95.9 million. The four analysts polled by S&P Capital IQ hoped for revenue of $98.2 million on the same basis. GAAP reported sales were 9.7% higher than the prior-year quarter's $87.4 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 $0.24. The six earnings estimates compiled by S&P Capital IQ forecast $0.25 per share on the same basis. GAAP EPS of $0.23 for Q4 were much higher than the prior-year quarter's $0.02 per share.

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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 93.4%, 110 basis points better than the prior-year quarter. Operating margin was 28.8%, 110 basis points worse than the prior-year quarter. Net margin was 10.5%, 950 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $89.6 million. On the bottom line, the average EPS estimate is $0.19.

Next year's average estimate for revenue is $388.6 million. The average EPS estimate is $1.01.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 540 members out of 560 rating the stock outperform, and 20 members rating it underperform. Among 186 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 182 give Mobile Mini a green thumbs-up, and four give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Mobile Mini is outperform, with an average price target of $24.75.

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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. Motley Fool newsletter services have recommended buying shares of Mobile Mini. 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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