Market Overview

Earnings Outlook For Ardagh Group

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Ardagh Group (NYSE: ARD) announces its next round of earnings this Thursday, October 22. Here is Benzinga's look at Ardagh Group's Q3 earnings report.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and earnings per share (EPS) are useful measures of a company's profitability. Total earnings, which is also referred to as net income, equals total revenue minus total expenses. EPS equates to net income divided by the number of shares outstanding.

Earnings And Revenue

Ardagh Group earnings will be near $0.4 per share on sales of $1.73 billion, according to analysts. Ardagh Group earnings in the same period a year ago was $0.6 per share. Quarterly sales came in at $2.38 billion.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Wall Street analysts who study this company will publish analyst estimates of revenue and EPS. The averages of all analyst EPS and revenue estimates are called the "consensus estimates"; these consensus estimates can have a significant effect on a company's performance during an earnings release. When a company posts earnings or revenue above or below a consensus estimate, it has posted an "earnings surprise", which can really move a stock depending on the difference between actual and estimated values.

If the company were to post earnings in line with the consensus estimate when it reports Thursday, EPS would be down 33.33%. Revenue would have fallen 27.22% from the same quarter last year. Ardagh Group's reported EPS has stacked up against analyst estimates in the past like this:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate 0.33 0.28 0.26 0.5
EPS Actual 0.37 0.31 0.39 0.6
Revenue Estimate 1.61 B 1.62 B 1.59 B 2.38 B
Revenue Actual 1.61 B 1.62 B 1.58 B 2.38 B

Stock Performance

Over the past 52-week period, shares of Ardagh Group have declined 17.91%.

 

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Posted-In: Earnings