The Gory Details on ACCO Brands' Double Fumble
ACCO Brands (NYS: ACCO) reported earnings on May 10. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q1), ACCO Brands missed estimates on both revenue and earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP loss per share improved.
Margins dropped across the board.
ACCO Brands tallied revenue of $288.9 million. The four analysts polled by S&P Capital IQ expected a top line of $299.6 million on the same basis. GAAP-reported sales were 3.2% lower than the prior-year quarter's $298.4 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 -$0.31. The three earnings estimates compiled by S&P Capital IQ averaged $0.02 per share. GAAP EPS were -$0.31 for Q1 versus -$0.15 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 29%, 90 basis points worse than the prior-year quarter. Operating margin was 3.5%, 220 basis points worse than the prior-year quarter. Net margin was -6%, 330 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $356.5 million. On the bottom line, the average EPS estimate is $0.22.
Next year's average estimate for revenue is $1.51 billion. The average EPS estimate is $0.94.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on ACCO Brands is outperform, with an average price target of $15.17.
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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.