Medical Action Industries Inc. (NASDAQ:MDCI) 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.
Medical Action Industries Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased to $0.08 in the quarter versus EPS of $-0.01 in the year-earlier quarter.
Revenue: Decreased 0.3% to $107.9 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Medical Action Industries Inc. reported adjusted EPS income of $0.08 per share. By that measure, the company missed the mean analyst estimate of $0.10. It missed the average revenue estimate of $110.03 million.
Quoting Management: Paul D. Meringolo, Chief Executive Officer said, “Fiscal Year 2013 was a transitional year in which the Company made significant and positive strides towards realigning our business to improve focus and accountability with respect to our profitability and operating results. While we still have some challenges ahead, I’m proud of the progress we’ve made as a management team and I am excited about the momentum that continues to build as we move into Fiscal Year 2014. The recent addition of Paul Chapman to the role of President and Chief Operating Officer has energized our organization. His core values, proven track record of managing multiple business unit structures and ability to develop management teams that execute strategic goals is an important complement to our executive management team. Finally, these changes, coupled with our new credit facility reflect the measured approach management has taken during the past twelve months to improve our financial results and enhance stockholder value.”
Key Stats (on next page)…
Revenue decreased 1.37% from $109.4 million in the previous quarter. EPS decreased 20% from $0.10 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 $0.12 and has not changed. For the current year, the average estimate is a profit of $0.23, which is the same with that ninety days ago.
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)