AFC Enterprises (NAS: AFCE) reported earnings on Aug. 15. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended July 8 (Q2), AFC Enterprises beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share improved significantly.
Gross margins increased, operating margins shrank, net margins grew.
AFC Enterprises reported revenue of $39.6 million. The two analysts polled by S&P Capital IQ expected net sales of $38.6 million on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $35.3 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 $0.27. The four earnings estimates compiled by S&P Capital IQ predicted $0.26 per share. GAAP EPS of $0.27 for Q2 were 23% higher than the prior-year quarter's $0.22 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 70.2%, 110 basis points better than the prior-year quarter. Operating margin was 28.8%, 180 basis points worse than the prior-year quarter. Net margin was 16.7%, 110 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $38.5 million. On the bottom line, the average EPS estimate is $0.27.
Next year's average estimate for revenue is $173.8 million. The average EPS estimate is $1.17.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 60 members out of 74 rating the stock outperform, and 14 members rating it underperform. Among 23 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 20 give AFC Enterprises a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AFC Enterprises is buy, with an average price target of $25.13.
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The article AFC Enterprises Beats on Both Top and Bottom Lines originally appeared on Fool.com.
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