Gartner Inc. (NYSE:IT) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.
Gartner Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 16.28% to $0.5 in the quarter versus EPS of $0.43 in the year-earlier quarter.
Revenue: Rose 12.21% to $446 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Gartner Inc. reported adjusted EPS income of $0.5 per share. By that measure, the company missed the mean analyst estimate of $0.52. It beat the average revenue estimate of $442.62 million.
Quoting Management: Gene Hall, Gartner’s chief executive officer, commented, “Our second quarter results continued our trend of delivering consistent double-digit growth. Revenue, contract value, Normalized EBITDA and EPS again grew at double-digit rates, in line with our long-term expectations. Despite a mixed economic environment, we continue to see robust demand for our services across all three segments, which illustrates both the value we provide to our clients and the market opportunity for our services. We remain confident in our ability to deliver on our long term goals for double-digit growth in revenues, earnings and cash flow.”
Key Stats (on next page)…
Revenue increased 9.65% from $406.75 million in the previous quarter. EPS increased 31.58% from $0.38 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 $0.42 to a profit $0.41. For the current year, the average estimate has moved down from a profit of $2.05 to a profit of $2.03 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)