CARBO Ceramics Misses Where It Counts

Seth Jayson, The Motley Fool
Updated

CARBO Ceramics (NYS: CRR) reported earnings on April 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), CARBO Ceramics beat slightly on revenues and missed estimates on earnings per share.

Compared with the prior-year quarter, revenue expanded and GAAP earnings per share increased.


Margins dropped across the board.

Revenue details
CARBO Ceramics notched revenue of $163.2 million. The five analysts polled by S&P Capital IQ expected revenue of $160.5 million on the same basis. GAAP reported sales were 8.2% higher than the prior-year quarter's $150.8 million.

anImage
anImage

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 $1.31. The 10 earnings estimates compiled by S&P Capital IQ forecast $1.41 per share. GAAP EPS of $1.31 for Q1 were 0.8% higher than the prior-year quarter's $1.30 per share.

anImage
anImage

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 38.9%, 220 basis points worse than the prior-year quarter. Operating margin was 28.7%, 300 basis points worse than the prior-year quarter. Net margin was 18.6%, 140 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $168.8 million. On the bottom line, the average EPS estimate is $1.48.

Next year's average estimate for revenue is $713.1 million. The average EPS estimate is $6.20.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 413 members out of 442 rating the stock outperform, and 29 members rating it underperform. Among 106 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 100 give CARBO Ceramics a green thumbs-up, and six give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on CARBO Ceramics is outperform, with an average price target of $146.44.

Is CARBO Ceramics the right energy stock for you? Read about a handful of timely, profit-producing plays on expensive crude in "3 Stocks for $100 Oil." Get instant access to this free report.

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. He is the co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of CARBO Ceramics. Try any of our Foolish newsletter services free for 30 days. We Fools don't 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.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement