Altra Holdings Earnings: Here’s Why Investors are Excited Now

Altra Holdings, Inc. (NASDAQ:AIMC) 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%.

Altra Holdings, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $0.36 in the quarter versus EPS of $0.24 in the year-earlier quarter.

Revenue: Rose 3.19% to $177.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Altra Holdings, Inc. reported adjusted EPS income of $0.36 per share. By that measure, the company beat the mean analyst estimate of $0.24. It beat the average revenue estimate of $169.82 million.

Quoting Management: “We ended a record year of performance with solid results in the fourth quarter,” said Carl Christenson, Altra President and CEO. “For the year, we grew revenues 8.5% to $732 million, and reported $1.52 in non-GAAP earnings per share, a record for the Company. For the quarter, revenues grew 3.2% to $177.2 million and we reported non-GAAP earnings per diluted share of $0.36. We improved gross profit during the year, ending with a 30.4% gross margin for the fourth quarter and 29.9% for 2012. During the fourth quarter we refinanced our 8.125% Senior Secured Notes for a significant cost savings going forward, substantially completed the European restructuring actions we had previously announced, made progress on our strategy to penetrate emerging countries, and continued to take actions to enhance productivity and operational efficiency.”

Key Stats (on next page)…

Revenue increased 1.55% from $174.49 million in the previous quarter. EPS increased 5.88% from $0.34 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.37 to a profit $0.43. For the current year, the average estimate has moved down from a profit of $1.41 to a profit of $1.40 over the last ninety days.

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