CBIZ Whiffs on Revenues
CBIZ (NYS: CBZ) reported earnings on July 29. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), CBIZ whiffed on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue dropped. Non-GAAP earnings per share dropped. GAAP earnings per share grew significantly.
Margins grew across the board.
CBIZ chalked up revenue of $172.5 million. The two analysts polled by S&P Capital IQ hoped for revenue of $211.0 million on the same basis. GAAP reported sales were 8.5% lower than the prior-year quarter's $188.6 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 $0.11. The two earnings estimates compiled by S&P Capital IQ averaged $0.15 per share. Non-GAAP EPS of $0.11 for Q2 were 8.3% lower than the prior-year quarter's $0.12 per share. GAAP EPS of $0.18 for Q2 were 50% higher than the prior-year quarter's $0.12 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 12.1%, 50 basis points better than the prior-year quarter. Operating margin was 7.7%, 10 basis points better than the prior-year quarter. Net margin was 5.3%, 220 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $196.0 million. On the bottom line, the average EPS estimate is $0.12.
Next year's average estimate for revenue is $821.3 million. The average EPS estimate is $0.65.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 119 members out of 127 rating the stock outperform, and eight members rating it underperform. Among 34 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 34 give CBIZ 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 CBIZ is buy, with an average price target of $8.50.
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The article CBIZ 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 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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