Knightsbridge Tankers Misses on Both Revenue and Earnings

Seth Jayson, The Motley Fool
Updated

Knightsbridge Tankers (NAS: VLCCF) reported earnings on May 17. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Knightsbridge Tankers missed estimates on both revenue and earnings per share.

Compared to the prior-year quarter, revenue expanded and GAAP earnings per share dropped significantly.


Margins dropped across the board.

Revenue details
Knightsbridge Tankers Limited reported revenue of $23.2 million. The two analysts polled by S&P Capital IQ predicted a top line of $24 million on the same basis. GAAP-reported sales were 3.6% higher than the prior-year quarter's $22.4 million.

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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 $0.29. The four earnings estimates compiled by S&P Capital IQ forecast $0.34 per share. GAAP EPS of $0.29 for Q1 were 17% lower than the prior-year quarter's $0.35 per share.

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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 65.8%, 720 basis points worse than the prior-year quarter. Operating margin was 37.1%, 720 basis points worse than the prior-year quarter. Net margin was 30.7%, 770 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $22.3 million. On the bottom line, the average EPS estimate is $0.31.

Next year's average estimate for revenue is $86.6 million. The average EPS estimate is $1.11.

Investor sentiment
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Knightsbridge Tankers Limited is hold, with an average price target of $17.83.

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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 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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