EZCORP Increases Sales but Misses Estimates on Earnings
EZCORP (NAS: EZPW) reported earnings on April 19. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q2), EZCORP beat expectations on revenue and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP earnings per share grew significantly.
Gross margin expanded, operating margin grew, and net margin shrank.
EZCORP reported revenue of $256.3 million. The eight analysts polled by S&P Capital IQ looked for revenue of $248.5 million on the same basis. GAAP reported sales were 20% higher than the prior-year quarter's $213.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.73. The eight earnings estimates compiled by S&P Capital IQ predicted $0.76 per share. GAAP EPS of $0.73 for Q2 were 16% higher than the prior-year quarter's $0.63 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 63.1%, 170 basis points better than the prior-year quarter. Operating margin was 21.8%, 80 basis points better than the prior-year quarter. Net margin was 14.5%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $236.7 million. On the bottom line, the average EPS estimate is $0.62.
Next year's average estimate for revenue is $999.2 million. The average EPS estimate is $2.90.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 604 members out of 625 rating the stock outperform, and 21 members rating it underperform. Among 163 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 161 give EZCORP 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 EZCORP is outperform, with an average price target of $40.14.
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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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