Benzinga | Apr 23, 2021 10:14AM EDT

Alliance Resource's Earnings Outlook

Alliance Resource (NASDAQ:ARLP) releases its next round of earnings this Monday, April 26. Get the latest predictions in Benzinga's essential guide to the company's Q1 earnings report.

What Are Earnings, Net Income, 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

Wall Street expects EPS of $0.23 and sales around $353.40 million. In the same quarter last year, Alliance Resource reported EPS of $0.1 on revenue of $350.76 million.

Why Analyst Estimates And Earnings Surprises Are Important

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.

If the company were to match the consensus estimate when it reports Monday, earnings would be up 130.0%. Revenue would be up 0.75% from the year-ago period. In comparison to analyst estimates in the past, here is how the company's reported EPS stacks up:

Quarter Q4 2021 Q3 2020 Q2 2020 Q1 2020EPS Estimate 0.08 -0.05 -0.43 0.13EPS Actual 0.27 0.21 -0.37 0.10Revenue Estimate 363.60 M 357.65 M 219.05 M 403.93 MRevenue Actual 366.51 M 355.65 M 255.20 M 350.76 M

Stock Performance

Shares of Alliance Resource were trading at $6.33 as of April 22. Over the last 52-week period, shares are up 84.96%. Given that these returns are generally positive, long-term shareholders should be content going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Alliance Resource is scheduled to hold the call at 10:00:00 ET and can be accessed here.