Atlantic Tele-Network Misses on the Top and Bottom Lines

Seth Jayson, The Motley Fool
Updated

Atlantic Tele-Network (NAS: ATNI) reported earnings on April 29. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended March 31 (Q1), Atlantic Tele-Network missed estimates on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue contracted. GAAP earnings per share shrank.


Gross margins dropped, operating margins increased, net margins were steady.

Revenue details
 Atlantic Tele-Network reported revenue of $172.9 million. The four analysts polled by S&P Capital IQ predicted net sales of $180.1 million on the same basis. GAAP reported sales were 5.5% lower than the prior-year quarter's $182.9 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 $0.56. The four earnings estimates compiled by S&P Capital IQ predicted $0.58 per share. GAAP EPS of $0.56 for Q1 were 6.7% lower than the prior-year quarter's $0.60 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 66.0%, 70 basis points worse than the prior-year quarter. Operating margin was 10.1%, 20 basis points better than the prior-year quarter. Net margin was 5.1%, much about the same as the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
 Next quarter's average estimate for revenue is $181.1 million. On the bottom line, the average EPS estimate is $0.63.

Next year's average estimate for revenue is $730.2 million. The average EPS estimate is $2.52.

Investor sentiment
 The stock has a five-star rating (out of five) at Motley Fool CAPS, with 213 members out of 221 rating the stock outperform, and eight members rating it underperform. Among 56 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 56 give Atlantic Tele-Network a green thumbs-up, and give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Atlantic Tele-Network is outperform, with an average price target of $51.33.

Is Atlantic Tele-Network the best telecom bet for you? Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks," including one above-average telecom company. Click here for instant access to this free report.

The article Atlantic Tele-Network Misses on the Top and Bottom Lines 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement