Leucadia National Crushes Earnings Estimates
Leucadia National (NYS: LUK) reported earnings on May 4. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), Leucadia National crushed expectations on revenue and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP earnings per share grew significantly.
Gross margin dropped, operating margin grew, and net margin grew.
Leucadia National logged revenue of $2.42 billion. The one analyst polled by S&P Capital IQ predicted revenue of $227.0 million on the same basis. GAAP reported sales were much higher than the prior-year quarter's $204.4 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 $1.97. The two earnings estimates compiled by S&P Capital IQ averaged $0.36 per share. GAAP EPS of $1.97 for Q1 were much higher than the prior-year quarter's $0.04 per share. (The prior-year quarter included -$0.01 per share in earnings from discontinued operations.)
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 22.7%, 2,980 basis points worse than the prior-year quarter. Operating margin was 16.0%, 300 basis points better than the prior-year quarter. Net margin was 20.2%, 1,510 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $237.2 million. On the bottom line, the average EPS estimate is $0.38.
Next year's average estimate for revenue is $774.7 million. The average EPS estimate is $1.52.
The stock has a five-star rating (out of five) at Motley Fool CAPS. Among 355 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 351 give Leucadia National a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Leucadia National is hold, with an average price target of $24.00.
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At the time this article was published 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. 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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