Moneygram International Inc. (NYSE:MGI) 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.
Moneygram International Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 22.73% to $0.27 in the quarter versus EPS of $0.22 in the year-earlier quarter.
Revenue: Rose 7.04% to $340.5 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Moneygram International Inc. reported adjusted EPS income of $0.27 per share. By that measure, the company beat the mean analyst estimate of $0.24. It missed the average revenue estimate of $342.72 million.
Quoting Management: “We are proud to have achieved our tenth consecutive quarter of double-digit money transfer transaction growth and eighth consecutive quarter of double-digit money transfer constant currency revenue growth. The completion of our debt refinancing in the quarter was a true milestone strengthening our balance sheet and significantly improving our free cash flow,” said Pamela H. Patsley, chairman and chief executive officer. “Our value proposition to both consumers and agents combined with our growing brand recognition and expanding network enabled us to again increase our market share. The year is off to a strong start and we are well positioned in the growing global remittance industry.”
Key Stats (on next page)…
Revenue decreased 3.92% from $354.41 million in the previous quarter. EPS decreased 0% from $0.27 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 $0.29 to a profit $0.32. For the current year, the average estimate has moved up from a profit of $1.21 to a profit of $1.24 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)