Benzinga | Feb 3, 2021 10:22AM EST

Modine Manufacturing's Earnings: A Preview

On Thursday, February 04, Modine Manufacturing (NYSE:MOD) will release its latest earnings report. Here is Benzinga's outlook for the company.

Net Income, Earnings, 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

Analysts expect Modine Manufacturing earnings of $0.28 per share. Revenue will likely be around $467.97 million, according to the consensus estimate. In the same quarter last year, Modine Manufacturing reported earnings per share of $0.37 on revenue of $473.40 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.

If the company were to match the consensus estimate when it reports Thursday, EPS would have fallen 24.32%. Revenue would be down 1.15% on a year-over-year basis. Here is how the company's EPS has stacked up against analyst estimates in the past:

Quarter Q2 2020 Q1 2020 Q4 2020 Q3 2020EPS Estimate 0.09 -0.12 0.16 0.19EPS Actual 0.43 -0.09 0.24 0.37Revenue Estimate 400.78 M 348.56 M 490.82 M 476.58 MRevenue Actual 461.40 M 347.80 M 472.90 M 473.40 M

Stock Performance

Shares of Modine Manufacturing were trading at $13.13 as of February 02. Over the last 52-week period, shares are up 60.74%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Modine Manufacturing is scheduled to hold the call at 09:00:00 ET and can be accessed here.