Superior Industries International, Inc. (NYSE:SUP) 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.
Superior Industries International, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share were the same at $0.23 in the quarter as EPS of $0.23 in the year-earlier quarter.
Revenue: Decreased 7.46% to $199 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Superior Industries International, Inc. reported adjusted EPS income of $0.23 per share. By that measure, the company beat the mean analyst estimate of $0.21. It missed the average revenue estimate of $213.54 million.
Quoting Management: “While the fundamentals of the auto sector remain strong, it appears that Superior’s more selective pricing decisions and ongoing capacity limitations are reflected in the reduced unit sales volume,” said Steven J. Borick, Chairman, Chief Executive Officer and President. “We are investing in our existing plants to enhance efficiencies and improve processes, and we are making excellent progress with the construction of a new manufacturing facility in Mexico that is expected to be completed in 2015 and increase capacity by approximately 20 percent.”
Key Stats (on next page)…
Revenue decreased 3.6% from $206.44 million in the previous quarter. EPS increased 27.78% from $0.18 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 $0.19 to a profit $0.17. For the current year, the average estimate is a profit of $0.80, which is the same with that ninety days ago.
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)