Stonemor Partners Misses on Both Revenue and Earnings

Stonemor Partners (NYSE: STON  ) reported earnings on March 15. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Stonemor Partners missed estimates on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue increased slightly. GAAP loss per share grew.

Gross margins shrank, operating margins grew, net margins shrank.

Revenue details
Stonemor Partners tallied revenue of $59.3 million. The two analysts polled by S&P Capital IQ predicted sales of $62.3 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at -$0.20. The one earnings estimate compiled by S&P Capital IQ averaged -$0.06 per share. GAAP EPS were -$0.20 for Q4 versus -$0.16 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 56.2%, 30 basis points worse than the prior-year quarter. Operating margin was 4.3%, 40 basis points better than the prior-year quarter. Net margin was -6.6%, 130 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $64.6 million. On the bottom line, the average EPS estimate is -$0.01.

Next year's average estimate for revenue is $259.5 million. The average EPS estimate is -$0.12.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 356 members out of 376 rating the stock outperform, and 20 members rating it underperform. Among 120 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 117 give Stonemor Partners a green thumbs-up, and three give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Stonemor Partners is outperform, with an average price target of $29.67.

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