Penn National Gaming (NAS: PENN) reported earnings on Oct. 18. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Penn National Gaming met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue dropped slightly and GAAP earnings per share dropped significantly.
Gross margins increased, operating margins dropped, net margins shrank.
Penn National Gaming notched revenue of $707.0 million. The 17 analysts polled by S&P Capital IQ foresaw sales of $712.4 million on the same basis. GAAP reported sales were 0.5% lower than the prior-year quarter's $710.9 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 $0.57. The 16 earnings estimates compiled by S&P Capital IQ predicted $0.56 per share. GAAP EPS of $0.44 for Q3 were 33% lower than the prior-year quarter's $0.66 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 42.2%, 120 basis points better than the prior-year quarter. Operating margin was 14.0%, 430 basis points worse than the prior-year quarter. Net margin was 6.6%, 340 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $772.1 million. On the bottom line, the average EPS estimate is $0.55.
Next year's average estimate for revenue is $2.92 billion. The average EPS estimate is $2.47.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 341 members out of 372 rating the stock outperform, and 31 members rating it underperform. Among 96 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 91 give Penn National Gaming a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Penn National Gaming is outperform, with an average price target of $47.76.
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The article Penn National Gaming Beats on EPS But GAAP Results Lag originally appeared on Fool.com.
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