Par Pharmaceutical Beats on Both Top and Bottom Lines
Par Pharmaceutical (NYS: PRX) reported earnings on May 8. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Par Pharmaceutical beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP loss per share dropped.
Gross margins dropped, operating margins dropped, net margins improved.
Par Pharmaceutical tallied revenue of $271.5 million. The nine analysts polled by S&P Capital IQ predicted a top line of $235.7 million on the same basis. GAAP reported sales were 17% higher than the prior-year quarter's $233.0 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 $0.82. The nine earnings estimates compiled by S&P Capital IQ predicted $0.72 per share. GAAP EPS were -$0.79 for Q1 compared to -$3.07 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 39.3%, 780 basis points worse than the prior-year quarter. Operating margin was 9.5%, 1,280 basis points worse than the prior-year quarter. Net margin was -10.6%, 3,620 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $267.3 million. On the bottom line, the average EPS estimate is $1.03.
Next year's average estimate for revenue is $1.02 billion. The average EPS estimate is $3.74.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Par Pharmaceutical is outperform, with an average price target of $40.89.
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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. He is the 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 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.