Melco Crown Entertainment Earnings: Here’s Why the Stock is Up Now

Melco Crown Entertainment Ltd. (NASDAQ:MPEL) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 1.19%.

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Melco Crown Entertainment Ltd. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 54.55% to $0.10 in the quarter versus EPS of $0.22 in the year-earlier quarter.

Revenue: Rose 11.5% to $1.15 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Melco Crown Entertainment Ltd. reported adjusted EPS income of $0.10 per share. By that measure, the company missed the mean analyst estimate of $0.23. It beat the average revenue estimate of $1.12 billion.

Quoting Management: Mr. Lawrence Ho, Co-Chairman and Chief Executive Officer of Melco Crown Entertainment, commented, “I am pleased to announce another record quarter of EBITDA and EBITDA margin for our Company. We continue to deliver strong growth in gaming fundamentals and profitability through a clear focus on execution across our exceptional portfolio of operating assets.”

Key Stats (on next page)…

Revenue increased 3.92% from $1.1 billion in the previous quarter. EPS decreased 50% from $0.20 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 $0.20 to a profit $0.21. For the current year, the average estimate has moved up from a profit of $0.93 to a profit of $0.98 over the last ninety days.

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