Xylem Earnings: Everything You Must Know Now

Xylem Inc (NYSE:XYL) 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.

Xylem Inc Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased to $-0.09 in the quarter versus EPS of $0.49 in the year-earlier quarter.

Revenue: Decreased 0.62% to $960 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: reported adjusted EPS loss of $0.09 per share. By that measure, the company missed the mean analyst estimate of $0.45. It missed the average revenue estimate of $967.91 million.

Quoting Management: “While our second quarter results were lower than expected, we captured important contract wins in June, resulting in record orders of more than $1 billion in the quarter,” said Gretchen McClain, president and chief executive officer of Xylem Inc. “We continue to take strong and decisive actions to position the company for efficient operation and profitable growth. While we’re seeing the initial benefits from our on-going restructuring and organizational realignment, we are accelerating additional short- and long-term actions to further reduce our cost base and drive more efficiencies throughout our business.”

Key Stats (on next page)…

Revenue increased 9.22% from $879 million in the previous quarter. EPS decreased to $-0.09 in the quarter versus EPS of $0.27 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.52 and has not changed. For the current year, the average estimate has moved down from a profit of $1.83 to a profit of $1.82 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)

More Articles About:   , , ,  

More from The Cheat Sheet