UTi Worldwide Earnings: Everything You Must Know Now

UTi Worldwide Inc. (NASDAQ:UTIW) 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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UTi Worldwide Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 85.71% to $0.02 in the quarter versus EPS of $0.14 in the year-earlier quarter.

Revenue: Decreased 5.86% to $1.08 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: UTi Worldwide Inc. reported adjusted EPS income of $0.02 per share. By that measure, the company missed the mean analyst estimate of $0.03. It beat the average revenue estimate of $1.04 billion.

Quoting Management: Eric W. Kirchner, chief executive officer, said, “Revenues and net revenues in the first quarter of fiscal 2014 were lower than the same period last year, impacted by many of the same issues that we saw in the final quarter of fiscal 2013. However, we saw steady improvement each month during the quarter, and in April net revenue increased on a year-on-year basis for the first time in 13 months. Airfreight volumes were slightly lower during the quarter, but ocean freight volumes were higher than the comparable prior year period. Net revenue per unit in freight forwarding was lower than the first quarter of last year in both airfreight and ocean freight. Contract logistics and distribution continued to be impacted by lower volumes from existing business and the previously reported loss of certain high-margin accounts. Although we are not satisfied with the full quarter results, recent volume improvements in April lead us to be slightly more optimistic about the remainder of fiscal 2014.”

Key Stats (on next page)…

Revenue decreased 7.97% from $1.17 billion in the previous quarter. EPS increased to $0.02 in the quarter versus EPS of $-0.13 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 $0.22 to a profit $0.15. For the current year, the average estimate has moved down from a profit of $0.79 to a profit of $0.52 over the last ninety days.

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