Anixter International Inc. (NYSE:AXE) delivered a profit and missed 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.
Anixter International Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 7.3% to $1.27 in the quarter versus EPS of $1.37 in the year-earlier quarter.
Revenue: Decreased 2.09% to $1.49 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Anixter International Inc. reported adjusted EPS income of $1.27 per share. By that measure, the company missed the mean analyst estimate of $1.34. It missed the average revenue estimate of $1.54 billion.
Quoting Management: “We entered 2013 with the expectation that the first half of the year would continue to be challenged by global macroeconomic activity and that we would see strengthening results in the second half of the year. Based on the increased levels of project quoting activity, we are seeing signs that general business conditions and overall levels of capital spending by our customers are beginning to improve,” commented Bob Eck, President and CEO. “We remain focused on margin improvement and working capital management, which will enable us to deliver solid financial results in a business environment that we expect will continue to be characterized by slow growth.”
Key Stats (on next page)…
Revenue decreased 3.46% from $1.54 billion in the previous quarter. EPS decreased 3.79% from $1.32 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 $1.62 to a profit $1.59. For the current year, the average estimate has moved up from a profit of $6.33 to a profit of $6.37 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)