Tuesday, November 20, 2012

Minerals Technologies Beats Analyst Estimates on EPS

Minerals Technologies (NYSE: MTX  ) reported earnings on Feb. 2. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Minerals Technologies missed slightly on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue increased, and GAAP earnings per share expanded significantly.

Margins increased across the board.

Revenue details
Minerals Technologies recorded revenue of $262.2 million. The five analysts polled by S&P Capital IQ predicted a top line of $266.9 million. Sales were 3.5% higher than the prior-year quarter's $249.8 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at $0.95. The four earnings estimates compiled by S&P Capital IQ averaged $0.90 per share on the same basis. GAAP EPS of $1.11 for Q3 were 29% higher than the prior-year quarter's $0.86 per share.

Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 20.9%, 10 basis points better than the prior-year quarter. Operating margin was 10.0%, 60 basis points better than the prior-year quarter. Net margin was 7.8%, 130 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $250.9 million. On the bottom line, the average EPS estimate is $0.89.

Next year's average estimate for revenue is $1.05 billion. The average EPS estimate is $3.61.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 36 members rating the stock outperform, and three members rating it underperform. Among 11 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 11 give Minerals Technologies a green thumbs-up, and give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Minerals Technologies is outperform, with an average price target of $74.33.

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