ExamWorks Group Increases Sales and Beats Estimates on Earnings

Seth Jayson, The Motley Fool
Updated

Editor's note: Because of a data-provider error, a previous version of this article incorrectly stated the EPS estimate for ExamWorks. The correct figure is -$0.11 per share. The Fool regrets the error.

ExamWorks Group (NYS: EXAM) reported earnings on May 8. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), ExamWorks Group beat expectations on revenues and missed expectations on earnings per share.


Compared to the prior-year quarter, revenue expanded significantly. GAAP loss per share dropped.

Margins increased across the board.

Revenue details
ExamWorks Group reported revenue of $148.7 million. The three analysts polled by S&P Capital IQ looked for revenue of $145.6 million on the same basis. GAAP reported sales were 20% higher than the prior-year quarter's $123.7 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 -$0.10. The three earnings estimates compiled by S&P Capital IQ anticipated -$0.11 per share. GAAP EPS were -$0.10 for Q1 versus -$0.13 per share for the prior-year quarter.

Margin details
For the quarter, gross margin was 34.5%, 10 basis points better than the prior-year quarter. Operating margin was 1.2%, 120 basis points better than the prior-year quarter. Net margin was -2.4%, 110 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $151.6 million. On the bottom line, the average EPS estimate is -$0.10.

Next year's average estimate for revenue is $607.2 million. The average EPS estimate is -$0.32.

Investor sentiment
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 16 members out of 27 rating the stock outperform, and 11 members rating it underperform. Among eight CAPS All-Star picks (recommendations by the highest-ranked CAPS members), three give ExamWorks Group 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 ExamWorks Group is outperform, with an average price target of $17.00.

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The article ExamWorks Group Increases Sales and Beats 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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