Gibraltar Industries Earnings: Here’s Why Shares are Down Now

Gibraltar Industries, Inc. (NASDAQ:ROCK) 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. Shares are down 0.56%.

Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!

Gibraltar Industries, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 55.56% to $0.04 in the quarter versus EPS of $0.09 in the year-earlier quarter.

Revenue: Rose 2.41% to $196.8 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Gibraltar Industries, Inc. reported adjusted EPS income of $0.04 per share. By that measure, the company missed the mean analyst estimate of $0.12. It missed the average revenue estimate of $208.3 million.

Quoting Management: “We experienced positive developments in some key areas of our business in the first quarter as expected,” said Chairman and Chief Executive Officer Brian Lipke. “However, the unusually cold and stormy weather patterns that affected many parts of the country, particularly in March, along with increased pricing pressures in some of our industrial markets and tighter inventory control in some of our sales channels, resulted in a slower start in 2013 than we had expected. As a result, despite increased sales from recent acquisitions, Gibraltar’s 2.4% net sales growth for the quarter fell two percentage points short of our guidance. Although the year started more slowly than we anticipated, we continue to be optimistic that 2013 will show solid full-year improvement over 2012 as basic fundamentals in several of our end markets continue to move in a positive direction.”

Key Stats (on next page)…

Revenue increased 13.99% from $172.64 million in the previous quarter. EPS decreased 20% from $0.05 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 $0.38 to a profit $0.42. For the current year, the average estimate has moved up from a profit of $0.98 to a profit of $1.07 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)