Broadridge Financial Solutions Inc. (NYSE:BR) 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.
Broadridge Financial Solutions Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 15% to $1.15 in the quarter versus EPS of $1.00 in the year-earlier quarter.
Revenue: Rose 3.88% to $865 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Broadridge Financial Solutions Inc. reported adjusted EPS income of $1.15 per share. By that measure, the company beat the mean analyst estimate of $1.07. It beat the average revenue estimate of $815.84 million.
Quoting Management: Richard J. Daly, Chief Executive Officer, said, “Overall, I am very pleased with our record earnings per share results for the quarter and full year. Both of our business segments ended the year with positive momentum and are positioned to grow both top and bottom line going forward. We also achieved record closed sales which included the signing of Societe Generale Corporate & Investment Banking as the first Eurasian processing client on our newly formed strategic alliance with Accenture. In addition, Broadridge’s overall closed sales continue to grow primarily due to our emerging and acquired products, including our Fluent suite of digital services. Adding both the Accenture Eurasia strategic alliance and the Broadridge Fluent digital opportunities has created a very meaningful increase to our already strong sales pipeline.” Mr. Daly added, “We opportunistically repurchased approximately 9 million shares, or 7% of our total shares outstanding for the fiscal year 2013. Given our confidence in the future, the Board has raised our annual dividend by approximately 17% to $0.84 per share. Our strong free cash flow enabled us to increase our dividend for the sixth consecutive year, and allows us to continue to actively pursue strategic tuck-in acquisitions and invest in our business to create increased revenue and earnings momentum going forward.”
Key Stats (on next page)…
Revenue increased 50.17% from $576 million in the previous quarter. EPS increased 194.87% from $0.39 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 $0.22 to a profit $0.21. For the current year, the average estimate is a profit of $1.81, which is the same with that ninety days ago.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)