AuRico Gold Earnings: Here’s Why Investors are Ambivalent Now

AuRico Gold Inc (NYSE:AUQ) delivered a profit and met 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.

AuRico Gold Inc Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 71.43% to $0.02 in the quarter versus EPS of $0.07 in the year-earlier quarter.

Revenue: Decreased 28.94% to $57.66 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: AuRico Gold Inc reported adjusted EPS income of $0.02 per share. By that measure, the company missed the mean analyst estimate of $0.02. It beat the average revenue estimate of $51.9 million.

Quoting Management: “With another quarter of solid results reported from both operations we continue to demonstrate the potential of our high quality asset base. The mid-shaft crushing and hoisting system is progressing on schedule and remains on target to commission during September. The shaft and hoisting system is the key catalyst that will drive significant improvements in underground productivities and further cost efficiencies,” stated Scott Perry , President and Chief Executive Officer. He continued, “With quality operations, a strong cash position and a fully-funded growth profile, the Company is well positioned for success even in this challenging market environment.”

Key Stats (on next page)…

Revenue decreased 11.14% from $64.89 million in the previous quarter. EPS decreased 50% from $0.04 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 $0.07 to a profit $0.05. For the current year, the average estimate has moved down from a profit of $0.25 to a profit of $0.13 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

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