Cloud Peak Energy Earnings: Everything You Must Know Now

Cloud Peak Energy Inc. (NYSE:CLD) 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.

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Cloud Peak Energy Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 76.6% to $0.11 in the quarter versus EPS of $0.47 in the year-earlier quarter.

Revenue: Decreased 9.33% to $338.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Cloud Peak Energy Inc. reported adjusted EPS income of $0.11 per share. By that measure, the company missed the mean analyst estimate of $0.28. It missed the average revenue estimate of $351.58 million.

Quoting Management: “Coming into the year, we highlighted that shipments and earnings in the first quarter would be under pressure from low market demand, slow first quarter shipments and low pricing, and this has turned out to be the case.” said Colin Marshall, President and Chief Executive Officer. “We focused on cost control, capital discipline, and ensuring our balance sheet remains well placed. We believe that we are now starting to see some signs of improvements in the markets, with the winter extending into April, a significant increase in natural gas pricing, and substantial drawdowns of PRB coal stockpiles. However, as we have previously explained, the improvements are more likely to benefit our 2014 position, as we are largely sold out for 2013. In response we are lowering our capital expenditures guidance and we also expect a lower range for our 2013 Adjusted EBITDA.”

Key Stats (on next page)…

Revenue decreased 9.8% from $374.83 million in the previous quarter. EPS decreased 79.63% from $0.54 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 $0.38 to a profit $0.28. For the current year, the average estimate has moved down from a profit of $1.56 to a profit of $1.21 over the last ninety days.

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