Benzinga | Nov 5, 2020 10:08AM EST

A Preview Of E W Scripps's Earnings

E W Scripps (NASDAQ: SSP) announces its next round of earnings this Friday, November 06. Here is Benzinga's everything-that-matters guide for this Friday's Q3 earnings announcement.

What Are Earnings, Net Income, And Earnings Per Share?

Earnings and EPS are useful metrics of profitability. Total earnings also known as net income is equal to total revenue minus total expenses. Dividing net income by the total number of shares outstanding yields EPS.

Earnings And Revenue

Based on E W Scripps management projections, analysts predict EPS of $0.73 on revenue of $465.75 million. In the same quarter last year, E W Scripps posted EPS of $0.27 on sales of $349.78 million.

Why Analyst Estimates And Earnings Surprises Are Important

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 Wall Street estimate would represent a 370.37% increase in the company's earnings. Sales would be up 33.16% on a year-over-year basis. Here is how the E W Scripps's reported EPS has stacked up against analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2019EPS Estimate -0.36 -0.09 0.13 -0.12EPS Actual -0.22 -0.15 0.13 -0.27Revenue Estimate 368.48 M 435.80 M 422.86 M 342.78 MRevenue Actual 358.88 M 430.91 M 444.40 M 349.78 M

Stock Performance

Over the past 52-week period, shares of E W Scripps have declined 31.41%. 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. E W Scripps is scheduled to hold the call at 09:30:00 ET and can be accessed here.