Benzinga | Nov 11, 2020 10:18AM EST

Earnings Outlook for Arcadia Biosciences

On Thursday, November 12, Arcadia Biosciences (NASDAQ: RKDA) will release its latest earnings report. Decipher the announcement with Benzinga's help.

Net Income, Earnings, 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

Arcadia Biosciences's per-share loss will be near $0.54 on sales of $1.14 million, according to Wall Street analysts. Arcadia Biosciences's loss in the same period a year ago was $2.04 per share. Quarterly sales came in at $392.00 thousand.

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.

The analyst consensus estimate would represent a 73.53% increase in the company's EPS figure. Revenue would be up 190.82% on a year-over-year basis. Here is how the company's reported EPS has compared to analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019EPS Estimate -0.59 -0.54 -0.57 -0.77EPS Actual -1.04 0.29 -0.72 -2.04Revenue Estimate 1.86 M 800.00 K 590.00 K 290.00 KRevenue Actual 281.00 K 309.00 K 416.00 K 392.00 K

Stock Performance

Over the past 52-week period, shares of Arcadia Biosciences have declined 21.6%. 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. Arcadia Biosciences is scheduled to hold the call at 16:30:00 ET and can be accessed here.