On Wednesday, May 12, ADMA Biologics (NASDAQ:ADMA) will release its latest earnings report. Benzinga's report can help you figure out the ins and outs of the earnings release.
What Are Earnings, Net Income, And Earnings Per Share?
Earnings and especially 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 equals to net income divided by the number of shares outstanding.
Earnings And Revenue
Analysts are predicting ADMA Biologics will report a loss of $0.17 per share on revenue of $14.58 million. ADMA Biologics's loss in the same period a year ago was $0.26 per share. Quarterly sales came in at $10.20 million.
Why Analyst Estimates And Earnings Surprises Are Important
Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.
The Wall Street consensus estimate for earnings would represent a 34.62% increase for the company. Revenue would be have grown 42.94% from the same quarter last year. ADMA Biologics's reported EPS has stacked up against analyst estimates in the past like this:
|Quarter||Q4 2021||Q3 2020||Q2 2020||Q1 2020|
|Revenue Estimate||12.91 M||9.96 M||10.57 M||10.88 M|
|Revenue Actual||13.96 M||10.28 M||7.79 M||10.20 M|
Over the last 52-week period, shares are down 32.24%. Given that these returns are generally negative, long-term shareholders won't be happy going into this earnings release.
Do not be surprised to see the stock move on comments made during its conference call. ADMA Biologics is scheduled to hold the call at 16:30:00 ET and can be accessed here.