Golar LNG Increases Sales but Misses Estimates on Earnings

Seth Jayson, The Motley Fool
Updated

Golar LNG (NAS: GLNG) reported earnings on March 4. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended Dec. 31 (Q4), Golar LNG met expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue expanded significantly. GAAP earnings per share increased significantly.


Margins shrank across the board.

Revenue details
 Golar LNG reported revenue of $111.8 million. The 11 analysts polled by S&P Capital IQ foresaw a top line of $111.2 million on the same basis. GAAP reported sales were 39% higher than the prior-year quarter's $80.6 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $0.28. The 10 earnings estimates compiled by S&P Capital IQ forecast $0.45 per share. GAAP EPS of $0.28 for Q4 were 33% higher than the prior-year quarter's $0.21 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 74.9%, much worse than the prior-year quarter. Operating margin was 47.7%, 410 basis points worse than the prior-year quarter. Net margin was 20.4%, 90 basis points worse than the prior-year quarter.

Looking ahead
 Next quarter's average estimate for revenue is $110.7 million. On the bottom line, the average EPS estimate is $0.46.

Next year's average estimate for revenue is $499.7 million. The average EPS estimate is $2.06.

Investor sentiment
 The stock has a four-star rating (out of five) at Motley Fool CAPS, with 548 members out of 571 rating the stock outperform, and 23 members rating it underperform. Among 140 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 133 give Golar LNG 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 Golar LNG is outperform, with an average price target of $49.53.

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The article Golar LNG Increases Sales but Misses Estimates on Earnings 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 has no position in any of the stocks mentioned. 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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