Home Properties Earnings: Everything You Must Know Now

Home Properties Inc. (NYSE:HME) 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.

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Home Properties Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 7.14% to $1.05 in the quarter versus EPS of $0.98 in the year-earlier quarter.

Revenue: Rose 4.23% to $167.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Home Properties Inc. reported adjusted EPS income of $1.05 per share. By that measure, the company beat the mean analyst estimate of $1.04. It missed the average revenue estimate of $169.33 million.

Quoting Management: “Positive rent growth and high occupancy contributed to a solid increase in net operating income in the first quarter, supporting our view that 2013 will be another good year for Home Properties,” said Edward J. Pettinella, Home Properties President and CEO. “The business environment for Home and the multifamily sector in 2013 remains favorable, although we do not expect the record level of earnings growth we experienced in 2012, which was a truly great year.”

Key Stats (on next page)…

Revenue increased 7% from $156.17 million in the previous quarter. EPS decreased 3.67% from $1.09 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $1.07 and has not changed. For the current year, the average estimate has moved up from a profit of $4.35 to a profit of $4.38 over the last ninety days.

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