Arch Coal (NYS: ACI) reported earnings on July 27. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Arch Coal beat expectations on revenue and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP earnings per share dropped to a loss.
Margins contracted across the board.
Arch Coal tallied revenue of $1.06 billion. The 14 analysts polled by S&P Capital IQ expected a top line of $1.00 billion on the same basis. GAAP reported sales were 7.9% higher than the prior-year quarter's $985.5 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 -$0.10. The 23 earnings estimates compiled by S&P Capital IQ predicted -$0.18 per share. GAAP EPS were -$2.05 for Q2 against $0.04 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 17.1%, 1,090 basis points worse than the prior-year quarter. Operating margin was 1.9%, 1,350 basis points worse than the prior-year quarter. Net margin was -40.9%, 4,170 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.03 billion. On the bottom line, the average EPS estimate is -$0.11.
Next year's average estimate for revenue is $4.12 billion. The average EPS estimate is -$0.40.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,510 members out of 1,592 rating the stock outperform, and 82 members rating it underperform. Among 307 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 287 give Arch Coal a green thumbs-up, and 20 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Arch Coal is hold, with an average price target of $11.29.
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The article Arch Coal Beats on Both Top and Bottom Lines originally appeared on Fool.com.
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