NCI Building Systems Increases Sales but Misses Estimates on Earnings

Seth Jayson, The Motley Fool
Updated

NCI Building Systems (NYS: NCS) reported earnings on June 4. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended April 28 (Q2), NCI Building Systems met expectations on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue grew significantly. GAAP loss per share dropped.


Margins shrank across the board.

Revenue details
 NCI Building Systems booked revenue of $293.4 million. The five analysts polled by S&P Capital IQ anticipated a top line of $293.1 million on the same basis. GAAP reported sales were 17% higher than the prior-year quarter's $250.2 million.

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

EPS details
 EPS came in at -$0.28. The five earnings estimates compiled by S&P Capital IQ predicted -$0.20 per share. GAAP EPS were -$0.28 for Q2 compared to -$0.86 per share for the prior-year quarter.

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 20.7%, 250 basis points worse than the prior-year quarter. Operating margin was -0.7%, 350 basis points worse than the prior-year quarter. Net margin was -1.8%, 230 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
 Next quarter's average estimate for revenue is $355.1 million. On the bottom line, the average EPS estimate is $0.11.

Next year's average estimate for revenue is $1.35 billion.

Investor sentiment
 The stock has a three-star rating (out of five) at Motley Fool CAPS, with 164 members out of 182 rating the stock outperform, and 18 members rating it underperform. Among 48 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 44 give NCI Building Systems a green thumbs-up, and four give it a red thumbs-down.

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The article NCI Building Systems Increases Sales but Misses Estimates on Earnings originally appeared on Fool.com.

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