Fool Checkup: Cliffs Natural Resources Earnings
Cliffs Natural Resources (NYS: CLF) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Cliffs Natural Resources missed estimates on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Cliffs Natural Resources recorded revenue of $1.63 billion. The 16 analysts polled by S&P Capital IQ looked for sales of $1.76 billion on the same basis. GAAP reported sales were 10.0% lower than the prior-year quarter's $1.81 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 $1.81. The 21 earnings estimates compiled by S&P Capital IQ anticipated $1.81 per share. GAAP EPS of $1.81 for Q2 were 38% lower than the prior-year quarter's $2.92 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 27.6%, 1,550 basis points worse than the prior-year quarter. Operating margin was 22.5%, 1,600 basis points worse than the prior-year quarter. Net margin was 15.9%, 670 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.99 billion. On the bottom line, the average EPS estimate is $2.37.
Next year's average estimate for revenue is $7.03 billion. The average EPS estimate is $7.76.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cliffs Natural Resources is outperform, with an average price target of $79.26.
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The article Fool Checkup: Cliffs Natural Resources 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. 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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