TETRA Technologies Earnings: Here’s Why Investors are Happy Now

TETRA Technologies Inc. (NYSE:TTI) had a loss and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 4.84%.

TETRA Technologies Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.04 in the quarter versus EPS of $0.23 in the year-earlier quarter.

Revenue: Decreased 5.88% to $221.1 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: TETRA Technologies Inc. reported adjusted EPS loss of $0.04 per share. By that measure, the company missed the mean analyst estimate of $0.21. It missed the average revenue estimate of $248.01 million.

Quoting Management: Stuart M. Brightman, TETRA’s President and Chief Executive Officer, stated, “The primary causes of the modest shortfall in our second quarter 2013 earnings compared to expectations, adjusted to exclude the results of our Maritech segment and $2.0 million of pre-tax severance costs incurred during the quarter, were reduced activity levels in Mexico associated with customer budget re-evaluations, and reduced activity in Canada associated with adverse weather conditions.”

Key Stats (on next page)…

Revenue increased 6.01% from $208.56 million in the previous quarter. EPS decreased to $-0.04 in the quarter versus EPS of $0.06 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 $0.26 to a profit $0.25. For the current year, the average estimate has moved down from a profit of $0.76 to a profit of $0.72 over the last ninety days.

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