Providence Service Corp. (NASDAQ:PRSC) 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.
Providence Service Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 290.91% to $0.43 in the quarter versus EPS of $0.11 in the year-earlier quarter.
Revenue: Rose 3.1% to $287.6 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Providence Service Corp. reported adjusted EPS income of $0.43 per share. By that measure, the company beat the mean analyst estimate of $0.34. It beat the average revenue estimate of $282.45 million.
Quoting Management: “Our strong results year to date in 2013 were primarily driven by our NET business, which is continuing to benefit from the full effect of our contract start-up efforts in 2012 as well as the final phase-in of our New York City contract, which went live in January of this year,” said Warren Rustand, Chief Executive Officer. “I am also pleased with the improved margins we saw in the quarter, which resulted from excellent transportation cost management, as well as further growth of our commercial and managed care lines of business in California.”
Key Stats (on next page)…
Revenue increased 2.17% from $281.49 million in the previous quarter. EPS decreased 12.24% from $0.49 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 profit of $0.27 to a profit $0.24. For the current year, the average estimate has moved up from a profit of $1.37 to a profit of $1.43 over the last ninety days.
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)