Freeport-McMoRan Copper & Gold Beats Estimates but Has a Big Earnings Drop
Freeport-McMoRan Copper & Gold (NYS: FCX) reported earnings on July 19. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Freeport-McMoRan Copper & Gold met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Freeport-McMoRan Copper & Gold reported revenue of $4.48 billion. The 12 analysts polled by S&P Capital IQ looked for a top line of $4.46 billion on the same basis. GAAP reported sales were 23% lower than the prior-year quarter's $5.81 billion.
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 $0.80. The 18 earnings estimates compiled by S&P Capital IQ predicted $0.77 per share. GAAP EPS of $0.74 for Q2 were 48% lower than the prior-year quarter's $1.43 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 41.4%, 1,460 basis points worse than the prior-year quarter. Operating margin was 31.1%, 1,630 basis points worse than the prior-year quarter. Net margin was 15.9%, 760 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $4.30 billion. On the bottom line, the average EPS estimate is $0.69.
Next year's average estimate for revenue is $18.49 billion. The average EPS estimate is $3.35.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 5,751 members out of 5,943 rating the stock outperform, and 194 members rating it underperform. Among 1,130 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,091 give Freeport-McMoRan Copper & Gold a green thumbs-up, and 39 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Freeport-McMoRan Copper & Gold is outperform, with an average price target of $50.41.
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The article Freeport-McMoRan Copper & Gold Beats Estimates but Has a Big Earnings Drop originally appeared on Fool.com.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. The Motley Fool owns shares of Freeport-McMoRan. 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.