Oxford Resource Partners Earnings: Here’s Why Investors are Ambivalent Now

Oxford Resource Partners, L.P. (NYSE:OXF) had a loss 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 down 0%.

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Oxford Resource Partners, L.P. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $-0.31 in the quarter versus EPS of $-0.32 in the year-earlier quarter.

Revenue: Decreased 9.37% to $88.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Oxford Resource Partners, L.P. reported adjusted EPS loss of $0.31 per share. By that measure, the company missed the mean analyst estimate of $-0.21. It beat the average revenue estimate of $88.65 million.

Quoting Management: “I am pleased to report that the year is off to a good start with first quarter Adjusted EBITDA performance showing a $1.0 million improvement over the fourth quarter,” said Oxford’s President and Chief Executive Officer Charles C. Ungurean. “We have been working diligently to address the upcoming credit facility maturity and expect to announce a comprehensive resolution within the next few weeks. With this increased financial flexibility, we will be better positioned to participate in a coal market rebound. We are encouraged by the recent decline in utility stockpiles and higher natural gas prices in our region, both of which should drive increasing demand in our market. Our recent actions to improve cash margins set the stage for us to generate further profitability improvement on higher future coal volumes.”

Key Stats (on next page)…

Revenue increased 2.54% from $86.5 million in the previous quarter. EPS increased to $-0.31 in the quarter versus EPS of $-0.38 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 loss of $0.13 to a loss $0.23. For the current year, the average estimate has moved down from a loss of $0.59 to a loss of $0.88 over the last ninety days.

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