Avista Corp. (NYSE:AVA) delivered a profit and beat Wall Street’s expectations, BUT 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 up 0.14%.
Avista Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 38.71% to $0.43 in the quarter versus EPS of $0.31 in the year-earlier quarter.
Revenue: Rose 2.45% to $352 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Avista Corp. reported adjusted EPS income of $0.43 per share. By that measure, the company beat the mean analyst estimate of $0.39. It missed the average revenue estimate of $357.36 million.
Quoting Management: “We are pleased to report that Avista Corp. had another strong quarter with increased earnings at both the utility and Ecova,” said Avista Chairman, President and Chief Executive Officer Scott Morris. “Utility earnings were above our expectations for the second quarter and first half of 2013. This resulted from lower operating costs due to the timing of expenditures, the net benefit associated with the Bonneville Power Administration settlement, which benefits both customers and shareholders, and warmer weather during the second quarter. Tempering our expected utility earnings for the remainder of the year is the recent outage that occurred at our Colstrip generating facility that is expected to last at least six months.”
Key Stats (on next page)…
Revenue decreased 27.11% from $482.91 million in the previous quarter. EPS decreased 39.44% from $0.71 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 profit of $0.17 and has not changed. For the current year, the average estimate is a profit of $1.79, which is the same with that ninety days ago.
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] wallstcheatsheet.com)