Eagle Rock Energy Partners Whiffs on Revenues

Eagle Rock Energy Partners (Nasdaq: EROC  ) reported earnings on Feb. 22. Here are the numbers you need to know.

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

Compared to the prior-year quarter, revenue increased significantly and GAAP loss per share shrank.

Gross margins contracted, operating margins expanded, and net margins expanded.

Revenue details
Eagle Rock Energy Partners reported revenue of $220.7 million. The three analysts polled by S&P Capital IQ foresaw a top line of $288.1 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $187.1 million.

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 two earnings estimates compiled by S&P Capital IQ averaged $0.10 per share. GAAP EPS were -$0.20 for Q4 versus -$0.63 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 21.3%, 420 basis points worse than the prior-year quarter. Operating margin was -6.6%, 2,220 basis points better than the prior-year quarter. Net margin was -11.6%, 1,630 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $336.7 million. On the bottom line, the average EPS estimate is $0.12.

Next year's average estimate for revenue is $1.34 billion. The average EPS estimate is $0.60.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 534 members out of 546 rating the stock outperform, and 12 members rating it underperform. Among 199 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 196 give Eagle Rock Energy 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 Eagle Rock Energy Partners is outperform, with an average price target of $13.25.

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