Arctic Cat Beats on Both Top and Bottom Lines
May 16th 2012 11:35AM
Updated May 16th 2012 11:38AM
Arctic Cat (NAS: ACAT) reported earnings on May 15. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q4), Arctic Cat beat expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly and GAAP loss per share contracted.
Margins improved across the board.
Arctic Cat notched revenue of $98.5 million. The six analysts polled by S&P Capital IQ anticipated revenue of $91.9 million on the same basis. GAAP reported sales were 34% higher than the prior-year quarter's $73.5 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 -$0.49. The six earnings estimates compiled by S&P Capital IQ averaged -$0.55 per share. GAAP EPS were -$0.49 for Q4 against -$0.52 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 11.6%, 240 basis points better than the prior-year quarter. Operating margin was -9.8%, 1,000 basis points better than the prior-year quarter. Net margin was -6.3%, 670 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $98.6 million. On the bottom line, the average EPS estimate is -$0.13.
Next year's average estimate for revenue is $658.5 million. The average EPS estimate is $2.73.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 63 members out of 101 rating the stock outperform, and 39 members rating it underperform. Among 27 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 15 give Arctic Cat a green thumbs-up, and 12 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Arctic Cat is outperform, with an average price target of $39.40.
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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 of Motley 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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