EnPro Industries Earnings: Here’s Why Investors are Ambivalent Now

EnPro Industries, Inc. (NYSE:NPO) 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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EnPro Industries, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 12.5% to $0.56 in the quarter versus EPS of $0.64 in the year-earlier quarter.

Revenue: Decreased 7.9% to $286.9 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: EnPro Industries, Inc. reported adjusted EPS income of $0.56 per share. By that measure, the company missed the mean analyst estimate of $0.59. It missed the average revenue estimate of $290.77 million.

Quoting Management: “Although we see no indication of sustained improvement, we expect seasonal growth in some markets during the second quarter,” said Steve Macadam, president and chief executive officer. “These seasonal factors are likely to support an increase in sales compared to the first quarter. Profits and profit margins should improve as volumes increase and as we continue to benefit from previously implemented cost reductions and efficiency programs.”

Key Stats (on next page)…

Revenue increased 2.72% from $279.3 million in the previous quarter. EPS increased 107.41% from $0.27 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.65 to a profit $0.67. For the current year, the average estimate has moved up from a profit of $2.41 to a profit of $2.54 over the last ninety days.

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