Builders FirstSource Beats on the Top Line

Builders FirstSource (Nasdaq: BLDR  ) reported earnings on Feb. 21. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Builders FirstSource beat expectations on revenues and met expectations on earnings per share.

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

Gross margins contracted, operating margins increased, net margins grew.

Revenue details
Builders FirstSource reported revenue of $287.6 million. The five analysts polled by S&P Capital IQ predicted revenue of $264.4 million on the same basis. GAAP reported sales were 49% higher than the prior-year quarter's $192.7 million.

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

EPS details
EPS came in at -$0.08. The five earnings estimates compiled by S&P Capital IQ anticipated -$0.08 per share. Non-GAAP EPS were -$0.08 for Q4 versus -$0.10 per share for the prior-year quarter. GAAP EPS were -$0.13 for Q4 compared to -$0.18 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 20.2%, 20 basis points worse than the prior-year quarter. Operating margin was 0.1%, 420 basis points better than the prior-year quarter. Net margin was -4.2%, 450 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $285.1 million. On the bottom line, the average EPS estimate is -$0.08.

Next year's average estimate for revenue is $1.32 billion. The average EPS estimate is -$0.11.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 224 members out of 274 rating the stock outperform, and 50 members rating it underperform. Among 81 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 67 give Builders FirstSource a green thumbs-up, and 14 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Builders FirstSource is outperform, with an average price target of $5.88.

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