Valassis Communications Earnings: Here’s Why Investors are Not Excited Now

Valassis Communications Inc. (NYSE:VCI) delivered a profit 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 down 3.60%.

Valassis Communications Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 7.89% to $0.70 in the quarter versus EPS of $0.76 in the year-earlier quarter.

Revenue: Decreased 8.21% to $495.9 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Valassis Communications Inc. reported adjusted EPS income of $0.7 per share. By that measure, the company missed the mean analyst estimate of $0.77. It missed the average revenue estimate of $507.53 million.

Key Stats (on next page)…

Revenue increased 2.77% from $482.52 million in the previous quarter. EPS increased 29.63% from $0.54 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 $0.86 to a profit $0.84. For the current year, the average estimate has moved down from a profit of $3.34 to a profit of $3.13 over the last ninety days.

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