The Gory Details on Progress Energy's Double Miss
Progress Energy (NYS: PGN) reported earnings on May 3. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Progress Energy missed estimates on revenues and earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share shrank significantly.
Margins dropped across the board.
Progress Energy logged revenue of $2.09 billion. The six analysts polled by S&P Capital IQ hoped for a top line of $2.23 billion on the same basis. GAAP reported sales were 3.5% lower than the prior-year quarter's $2.17 billion.
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 $0.48. The 12 earnings estimates compiled by S&P Capital IQ predicted $0.65 per share. GAAP EPS of $0.51 for Q1 were 18% lower than the prior-year quarter's $0.62 per share. (The prior-year quarter included -$0.01 per share in earnings from discontinued operations.)
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 31.9%, 200 basis points worse than the prior-year quarter. Operating margin was 17.4%, 340 basis points worse than the prior-year quarter. Net margin was 7.2%, 130 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $2.31 billion. On the bottom line, the average EPS estimate is $0.69.
Next year's average estimate for revenue is $9.89 billion. The average EPS estimate is $3.18.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 269 members out of 298 rating the stock outperform, and 29 members rating it underperform. Among 83 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 80 give Progress Energy a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Progress Energy is hold, with an average price target of $53.31.
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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.