Advanced Energy Industries Earnings: Here’s Why Investors are Happy Now

Advanced Energy Industries, Inc. (NASDAQ:AEIS) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 3.38%.

Advanced Energy Industries, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 94.44% to $0.35 in the quarter versus EPS of $0.18 in the year-earlier quarter.

Revenue: Rose 20.79% to $139.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Advanced Energy Industries, Inc. reported adjusted EPS income of $0.35 per share. By that measure, the company beat the mean analyst estimate of $0.16. It beat the average revenue estimate of $139.54 million.

Quoting Management: “We are pleased with our performance in the second quarter, having made significant progress on our aggressive restructuring and integration plan,” said Garry Rogerson, CEO. “Improved profitability returned to our Thin Films business this quarter as we expanded into new applications, our markets recovered and we continued to reduce our costs. In our Solar Energy business we are already seeing initial demand and a growing pipeline for our newly-acquired three-phase string product line and recently-released one megawatt inverter offering. With a strong and building backlog in both business units we anticipate an acceleration of earnings per share for 2013. Our focus on successfully delivering on our strategic objectives remains our primary focus. With an efficient company-wide cost structure in place, an expanded product line and cost-effective worldwide distribution, we are laying the foundation for a successful 2014.”

Key Stats (on next page)…

Revenue increased 24.94% from $111.81 million in the previous quarter. EPS increased 105.88% from $0.17 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.31 to a profit $0.29. For the current year, the average estimate has moved down from a profit of $1.04 to a profit of $0.96 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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