The Gory Details on McMoRan Exploration's Double Fumble
McMoRan Exploration (NYS: MMR) reported earnings on July 17. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), McMoRan Exploration missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP loss per share expanded.
Margins contracted across the board.
McMoRan Exploration reported revenue of $90.3 million. The three analysts polled by S&P Capital IQ foresaw a top line of $97.1 million on the same basis. GAAP reported sales were 43% lower than the prior-year quarter's $158.3 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 -$0.46. The five earnings estimates compiled by S&P Capital IQ averaged -$0.11 per share. GAAP EPS were -$0.47 for Q2 versus -$0.32 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 64.4%, 280 basis points worse than the prior-year quarter. Operating margin was -71.3%, 4,080 basis points worse than the prior-year quarter. Net margin was -72.2%, 4,700 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $93.6 million. On the bottom line, the average EPS estimate is -$0.14.
Next year's average estimate for revenue is $394.0 million. The average EPS estimate is -$0.38.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 520 members out of 539 rating the stock outperform, and 19 members rating it underperform. Among 123 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 116 give McMoRan Exploration a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on McMoRan Exploration is outperform, with an average price target of $13.44.
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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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