AK Steel Holding Goes Red
Jul 25th 2012 10:40AM
Updated Jul 25th 2012 10:50AM
AK Steel Holding (NYS: AKS) reported earnings on July 24. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), AK Steel Holding met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped and GAAP earnings per share contracted to a loss.
Gross margins were steady, operating margins shrank, net margins contracted.
AK Steel Holding booked revenue of $1.54 billion. The 14 analysts polled by S&P Capital IQ hoped for sales of $1.55 billion on the same basis. GAAP reported sales were 14% lower than the prior-year quarter's $1.79 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 $0.10. The 18 earnings estimates compiled by S&P Capital IQ predicted $0.05 per share. GAAP EPS were -$6.57 for Q2 compared to $0.30 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 9.5%, about the same as the prior-year quarter. Operating margin was 3.7%, 20 basis points worse than the prior-year quarter. Net margin was -47.1%, 4,890 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.49 billion. On the bottom line, the average EPS estimate is -$0.02.
Next year's average estimate for revenue is $6.11 billion. The average EPS estimate is -$0.05.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 858 members out of 942 rating the stock outperform, and 84 members rating it underperform. Among 166 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 144 give AK Steel Holding a green thumbs-up, and 22 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on AK Steel Holding is hold, with an average price target of $7.48.
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The article AK Steel Holding Goes Red 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 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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