Benzinga | Feb 5, 2021 10:08AM EST

Earnings Outlook For ESCO Technologies

ESCO Technologies (NYSE:ESE) releases its next round of earnings this Monday, February 08. Here is Benzinga's essential guide to ESCO Technologies's Q1 earnings report.

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

Analysts predict ESCO Technologies will report earnings of $0.45 per share on revenue of $164.95 million. ESCO Technologies reported a per-share profit of $0.43 when it published results during the same quarter last year. Sales in that period totaled $171.73 million.

What Are Analyst Estimates And Earnings Surprises, And Why Do They Matter?

Analysts who cover this company will publish forward-looking estimates of its revenue and EPS each quarter. Averaging together every EPS and revenue prediction that each analyst makes about a company in a quarter yields the "consensus estimates." A company posting earnings or revenue above or below the consensus estimate is known as an "earnings surprise" and may move the stock by a considerable margin.

The Wall Street consensus estimate for earnings would represent a 4.65% increase for the company. Revenue would have fallen 3.95% from the same quarter last year. Here is how the company's reported EPS has stacked up against analyst estimates in the past:

Quarter Q4 2020 Q3 2020 Q2 2020 Q1 2020EPS Estimate 0.76 0.48 0.57 0.39EPS Actual 0.90 0.76 0.68 0.43Revenue Estimate 188.71 M 172.50 M 180.52 M 166.85 MRevenue Actual 208.03 M 172.66 M 180.49 M 171.73 M

Stock Performance

Over the past 52-week period, shares of ESCO Technologies have declined 2.4%. 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. ESCO Technologies is scheduled to hold the call at 17:00:00 ET and can be accessed here.