Valspar reported earnings on May 14. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 26 (Q2), Valspar missed slightly on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share increased. GAAP earnings per share expanded.
Gross margins dropped, operating margins expanded, net margins grew.
Valspar booked revenue of $1.03 billion. The 10 analysts polled by S&P Capital IQ predicted net sales of $1.05 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.
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 $0.91. The 14 earnings estimates compiled by S&P Capital IQ averaged $0.90 per share. Non-GAAP EPS of $0.91 for Q2 were 8.3% higher than the prior-year quarter's $0.84 per share. GAAP EPS of $0.84 for Q2 were 5.0% higher than the prior-year quarter's $0.80 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 33.5%, 110 basis points worse than the prior-year quarter. Operating margin was 13.6%, 50 basis points better than the prior-year quarter. Net margin was 7.5%, 10 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $1.15 billion. On the bottom line, the average EPS estimate is $1.14.
Next year's average estimate for revenue is $4.17 billion. The average EPS estimate is $3.68.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Valspar is outperform, with an average price target of $68.33.
Looking for alternatives to Valspar? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.
- Add Valspar to My Watchlist.
Copyright © 2009 The Motley Fool, LLC. All rights reserved.