Questar Earnings: Everything You Must Know Now

Questar Corporation (NYSE:STR) 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.

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Questar Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 2.38% to $0.41 in the quarter versus EPS of $0.42 in the year-earlier quarter.

Revenue: Rose 12.03% to $476.9 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Questar Corporation reported adjusted EPS income of $0.41 per share. By that measure, the company missed the mean analyst estimate of $0.43. It beat the average revenue estimate of $435.95 million.

Quoting Management: “Each of Questar’s business units performed as expected in the first quarter,” said Ronald W. Jibson, Questar chairman, president and CEO. “Questar Gas posted a 6% rise in net income in the first quarter. Wexpro’s net income rose by 8% while Questar Pipeline’s income was 5% lower compared to the first quarter of 2012. Adjusted EBITDA in the first quarter of 2013 was about $184 million, up 5% from the same quarter in 2012. I am also pleased to report that Utah and Wyoming regulators recently approved Wexpro II, allowing us an opportunity to replicate the long-term success of the original Wexpro Agreement by acquiring properties for future cost-of-service gas development. While we recognize that certain expense challenges continue, we remain confident in our current 2013 earnings guidance range of $1.12 to $1.20 per diluted share. We are also excited about opportunities we are seeing at each of our business units.”

Key Stats (on next page)…

Revenue increased 39.04% from $343 million in the previous quarter. EPS increased 7.89% from $0.38 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 $0.22 and has not changed. For the current year, the average estimate has moved up from a profit of $1.19 to a profit of $1.2 over the last ninety days.

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