Shenandoah Telecommunications Misses on Both Revenue and Earnings
Shenandoah Telecommunications (NAS: SHEN) reported earnings on March 1. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Shenandoah Telecommunications 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 contracted, operating margin improved, and net margin grew.
Shenandoah Telecommunications reported revenue of $66.5 million. The one analyst polled by S&P Capital IQ predicted revenue of $68.6 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $57.9 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 $0.15. The two earnings estimates compiled by S&P Capital IQ anticipated $0.16 per share on the same basis. GAAP EPS of $0.16 for Q4 were 45% higher than the prior-year quarter's $0.11 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 55.1%, 340 basis points worse than the prior-year quarter. Operating margin was 12.1%, 480 basis points better than the prior-year quarter. Net margin was 6.0%, 130 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $70.7 million. On the bottom line, the average EPS estimate is $0.19.
Next year's average estimate for revenue is $282.2 million. The average EPS estimate is $0.90.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 50 members out of 53 rating the stock outperform, and three members rating it underperform. Among 12 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 11 give Shenandoah Telecommunications a green thumbs-up, and one gives it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Shenandoah Telecommunications is outperform, with an average price target of $17.50.
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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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