Earnings Outlook for AgroFresh Solutions

AgroFresh Solutions AGFS unveils its next round of earnings this Thursday, November 05. Get prepared with Benzinga's ultimate preview for AgroFresh Solutions's Q3 earnings.

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

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

AgroFresh Solutions earnings will be near $0.08 per share on sales of $59.51 million, according to analysts. In the same quarter last year, AgroFresh Solutions reported earnings per share of $0.06 on sales of $48.97 million.

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 match the consensus estimate, earnings would be up 33.33%. Revenue would be up 21.52% on a year-over-year basis. Here is how the company's EPS has stacked up against analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019
EPS Estimate -0.35 -0.15 0.14 0.21
EPS Actual -0.39 -0.08 0.09 0.06
Revenue Estimate 21.19 M 40.22 M 61.24 M 70.90 M
Revenue Actual 19.98 M 33.02 M 60.97 M 48.97 M

Stock Performance

Over the past 52-week period, shares of AgroFresh Solutions have declined 8.54%. Given that these returns are generally negative, long-term shareholders are probably a little upset going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. AgroFresh Solutions is scheduled to hold the call at 16:30:00 ET and can be accessed here.

Posted In: Earnings