Jamba Earnings: Here’s Why Investors are Happy Now

Jamba, Inc. (NASDAQ:JMBA) 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 up 2.94%.

Jamba, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 44% to $0.36 in the quarter versus EPS of $0.25 in the year-earlier quarter.

Revenue: Rose 1.91% to $67.3 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Jamba, Inc. reported adjusted EPS income of $0.36 per share. By that measure, the company missed the mean analyst estimate of $0.37. It missed the average revenue estimate of $70.41 million.

Quoting Management: “Despite the challenging consumer and competitive environment, Jamba had strong quarterly achievements and also set the stage for future performance gains and earnings growth. Our record of more than two years of quarterly system comparable store sales growth continued with an increase that outpaced many of our peers. Total revenue and net earnings both advanced, with EPS for the quarter increasing 33%. By increasing our marketing investment and highlighting value promotions, we continue to grow our base of light and lapsed users,” said James D. White, Chairman, President and CEO of Jamba.

Key Stats (on next page)…

Revenue increased 22.23% from $55.06 million in the previous quarter. EPS increased to $0.36 in the quarter versus EPS of $-0.10 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 $0.07 to a profit $0.38. For the current year, the average estimate has moved up from a profit of $0.08 to a profit of $0.39 over the last ninety days.

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

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