Entercom Communications Corp. (NYSE:ETM) 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 0.79%.
Entercom Communications Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 4% to $0.26 in the quarter versus EPS of $0.25 in the year-earlier quarter.
Revenue: Decreased 3.22% to $101.2 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Entercom Communications Corp. reported adjusted EPS income of $0.26 per share. By that measure, the company beat the mean analyst estimate of $0.24. It missed the average revenue estimate of $104.52 million.
Quoting Management: David J. Field, President and Chief Executive Officer stated: “Strong expense management and reduced interest expense enabled Entercom to grow Adjusted Earnings per Share despite a decline in Revenues for the quarter. Notwithstanding our disappointing Revenues, we believe that we are well positioned to accelerate our performance later in the year based on our excellent ratings and our strong competitive position that has been further bolstered by a number of recent operational and strategic enhancements.”
Key Stats (on next page)…
Revenue increased 29.15% from $78.36 million in the previous quarter. EPS increased to $0.26 in the quarter versus EPS of $-0.01 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 $0.24 to a profit $0.23. For the current year, the average estimate has moved down from a profit of $0.75 to a profit of $0.74 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] wallstcheatsheet.com)