TAL International Group Earnings: Everything You Must Know Now

TAL International Group, Inc. (NYSE:TAL) delivered a profit and met 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.

TAL International Group, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 7% to $1.07 in the quarter versus EPS of $1.00 in the year-earlier quarter.

Revenue: Rose 14.62% to $171.96 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: TAL International Group, Inc. reported adjusted EPS income of $1.07 per share. By that measure, the company met the mean analyst estimate of $1.07. It beat the average revenue estimate of $157.32 million.

Quoting Management: “TAL continued to achieve outstanding operational and financial results in the second quarter of 2013,” commented Brian M. Sondey, President and CEO of TAL International. “TAL generated $1.66 of Adjusted pretax income per share, which represents a new record level of financial performance for TAL. Our income continues to be supported by very high utilization. Our utilization averaged 97.5% for the second quarter, and stood at 97.4% as of July 24, 2013. Our profitability in the second quarter was also boosted by a decrease in our average effective interest rate. During the second quarter we took advantage of the very low interest rate environment to refinance several debt facilities and extend and lower the fixed rates on a large portion of our interest rate swap portfolio.”

Key Stats (on next page)…

Revenue increased 10.17% from $156.08 million in the previous quarter. EPS increased 1.9% from $1.05 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 $1.17 to a profit $1.15. For the current year, the average estimate has moved down from a profit of $4.49 to a profit of $4.43 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)