Elbit Systems Goes Red

Elbit Systems (Nasdaq: ESLT  ) reported earnings on March 14. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Elbit Systems beat expectations on revenue and whiffed on earnings per share.

Compared to the prior-year quarter, revenue grew and GAAP earnings per share dropped to a loss.

Margins dropped across the board.

Revenue details
Elbit Systems booked revenue of $841.9 million. The two analysts polled by S&P Capital IQ wanted to see revenue of $753.7 million on the same basis. GAAP reported sales were 5.4% higher than the prior-year quarter's $798.7 million.

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

EPS details
Non-GAAP EPS came in at $1.08. The one earnings estimate compiled by S&P Capital IQ predicted $1.34 per share on the same basis. GAAP EPS were -$0.31 for Q4 against $1.02 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 16.8%, 1,380 basis points worse than the prior-year quarter. Operating margin was -4.1%, 1,220 basis points worse than the prior-year quarter. Net margin was -1.5%, 700 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $679.5 million. On the bottom line, the average EPS estimate is $1.21.

Next year's average estimate for revenue is $2.91 billion. The average EPS estimate is $4.96.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 241 members out of 242 rating the stock outperform, and one member rating it underperform. Among 56 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), all 56 give Elbit Systems a green thumbs-up.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Elbit Systems is hold, with an average price target of $58.00.

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