Kaydon Earnings: Everything You Must Know Now

Kaydon Corporation (NYSE:KDN) 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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Kaydon Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 15.91% to $0.37 in the quarter versus EPS of $0.44 in the year-earlier quarter.

Revenue: Decreased 4.95% to $110.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Kaydon Corporation reported adjusted EPS income of $0.37 per share. By that measure, the company beat the mean analyst estimate of $0.36. It missed the average revenue estimate of $112.13 million.

Quoting Management: James O’Leary, Chairman and Chief Executive Officer commented, “We were pleased with a solid first quarter of 2013, which saw expanding operating margins, strong free cash flow and improved orders. We clearly experienced the benefits of the actions taken last year to restructure our wind and military businesses and refocus our organization on opportunities outside of those end markets. The progress this quarter reflects those efforts and should continue going forward, particularly in an improving economy.”

Key Stats (on next page)…

Revenue increased 0.16% from $110.52 million in the previous quarter. EPS increased 2.78% from $0.36 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 $0.41 to a profit $0.39. For the current year, the average estimate has moved down from a profit of $1.68 to a profit of $1.66 over the last ninety days.

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