Cambrex Corporation Beats on Both Top and Bottom Lines
Cambrex Corporation (NYS: CBM) reported earnings on May 3. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Cambrex beat expectations on both revenue and earnings per share.
Compared to the prior-year quarter, both revenue and GAAP earnings per share increased significantly.
Margins grew across the board.
Cambrex booked revenue of $70.2 million. The two analysts polled by S&P Capital IQ expected revenue of $65.2 million on the same basis. GAAP-reported sales were 16% higher than the prior-year quarter's $60.6 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 $0.24. The two earnings estimates compiled by S&P Capital IQ predicted $0.14 per share. GAAP EPS of $0.24 for Q1 were 167% higher than the prior-year quarter's $0.09 per share. (The prior-year quarter included $0 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%, 310 basis points better than the prior-year quarter. Operating margin was 14.4%, 570 basis points better than the prior-year quarter. Net margin was 10%, 550 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $70.4 million. On the bottom line, the average EPS estimate is $0.18.
Next year's average estimate for revenue is $264.7 million. The average EPS estimate is $0.56.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 57 members rating the stock outperform and 13 members rating it underperform. Among 12 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 10 give Cambrex a green thumbs-up, and two give it a red thumbs-down.
Over the decades, small-cap stocks like Cambrex have provided market-beating returns, provided they're value-priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: 2 Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add Cambrex Corporation to My Watchlist.
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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.