Meredith Earnings: Here’s Why Shares are Down Now

Meredith Corp. (NYSE:MDP) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 1.23%.

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Meredith Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 9.09% to $0.72 in the quarter versus EPS of $0.66 in the year-earlier quarter.

Revenue: Rose 6.98% to $369.62 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Meredith Corp. reported adjusted EPS income of $0.72 per share. By that measure, the company beat the mean analyst estimate of $0.68. It beat the average revenue estimate of $354.43 million.

Quoting Management: “Our diversified business model delivered solid growth in revenues, operating profit and cash flow for the third quarter and first nine months of fiscal 2013,” said Meredith Chairman and CEO Stephen M. Lacy. “And we continued to demonstrate our ongoing commitment to Total Shareholder Return by raising our dividend 7 percent, our 20th straight annual dividend increase.”

Key Stats (on next page)…

Revenue increased 2.5% from $360.6 million in the previous quarter. EPS decreased 19.1% from $0.89 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 $0.74 and has not changed. For the current year, the average estimate has moved up from a profit of $2.82 to a profit of $2.85 over the last ninety days.

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