Angie’s List Earnings: Here’s Why Investors are Selling Shares Now

Angie’s List Inc (NASDAQ:ANGI) had a loss and met Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 4.87%.

Angie’s List Inc Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $-0.25 in the quarter versus EPS of $-0.41 in the year-earlier quarter.

Revenue: Rose 62.19% to $59.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Angie’s List Inc reported adjusted EPS loss of $0.25 per share. By that measure, the company met the mean analyst estimate of $-0.25. It missed the average revenue estimate of $59.23 million.

Quoting Management: “We are reporting record levels for memberships added, service provider revenue and total revenue, as well as continued efficiencies in our cost per member acquired,” said Angie’s List CEO Bill Oesterle. “We achieved these results while simultaneously improving our operating leverage and producing cash flow.”

Key Stats (on next page)…

Revenue increased 13.48% from $52.17 million in the previous quarter. EPS decreased to $-0.25 in the quarter versus EPS of $-0.14 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a loss of $0.19 and has not changed. For the current year, the average estimate has moved up from a loss of $0.41 to a loss of $0.39 over the last ninety days.

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