Scotts Miracle-Gro (NYS: SMG) reported earnings on May 6. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 30 (Q2), Scotts Miracle-Gro whiffed on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue dropped. GAAP earnings per share dropped significantly.
Margins dropped across the board.
Scotts Miracle-Gro reported revenue of $1.02 billion. The 10 analysts polled by S&P Capital IQ foresaw revenue of $1.13 billion on the same basis. GAAP reported sales were 13% lower than the prior-year quarter's $1.17 billion.
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 $1.60. The 11 earnings estimates compiled by S&P Capital IQ predicted $2.01 per share. GAAP EPS of $1.60 for Q2 were 22% lower than the prior-year quarter's $2.05 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 37.1%, 230 basis points worse than the prior-year quarter. Operating margin was 16.8%, 230 basis points worse than the prior-year quarter. Net margin was 9.8%, 100 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.14 billion. On the bottom line, the average EPS estimate is $2.18.
Next year's average estimate for revenue is $2.86 billion. The average EPS estimate is $2.59.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 218 members out of 245 rating the stock outperform, and 27 members rating it underperform. Among 89 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 82 give Scotts Miracle-Gro 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 Scotts Miracle-Gro is hold, with an average price target of $44.50.
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The article Scotts Miracle-Gro Whiffs on Revenues 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 recommends The Scotts Miracle-Gro Company. 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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