Cellcom Israel Ltd. (NYSE:CEL) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
Cellcom Israel Ltd. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 61.49% to $0.67 in the quarter versus EPS of $1.74 in the year-earlier quarter.
Revenue: Rose 194.06% to $1.26 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Cellcom Israel missed the average revenue estimate of $1.43 billion.
Quoting Management: Nir Sztern, the Company’s Chief Executive Officer, said: “As we expected, the effects of the competition are also reflected in the results of the first quarter of 2013. The aggressive pricing competition during the past year has been fully reflected in the first quarter results. In this quarter we also saw a decline in revenues from cellular handsets, as a result of a decline in prices and a reduction in handset sales.”
Key Stats (on next page)…
Revenue increased 191.64% from $431.35 million in the previous quarter. EPS decreased 40.71% from $1.13 in the previous quarter.
Looking Forward: For the current year, the average estimate has moved down from a profit of $3.97 to a profit of $3.63 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)