Frontline Beats on Both Top and Bottom Lines
Frontline (NYS: FRO) reported earnings on May 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Frontline beat expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share dropped significantly.
Gross margins grew, operating margins dropped, net margins dropped.
Frontline chalked up revenue of $108.8 million. The 10 analysts polled by S&P Capital IQ predicted revenue of $100.7 million on the same basis. GAAP reported sales were 29% lower than the prior-year quarter's $234.8 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 -$0.11. The 10 earnings estimates compiled by S&P Capital IQ predicted -$0.15 per share. GAAP EPS of $0.09 for Q1 were 55% lower than the prior-year quarter's $0.20 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 40.2%, 130 basis points better than the prior-year quarter. Operating margin was 8.7%, 390 basis points worse than the prior-year quarter. Net margin was 4.3%, 230 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $105.5 million. On the bottom line, the average EPS estimate is -$0.05.
Next year's average estimate for revenue is $384.4 million. The average EPS estimate is -$0.68.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Frontline is underperform, with an average price target of $4.37.
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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.
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