First Hawaiian FHB releases its next round of earnings this Friday, April 23. Here is Benzinga's essential guide to First Hawaiian'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
Based on First Hawaiian management projections, analysts predict EPS of $0.44 on revenue of $181.47 million. In the same quarter last year, First Hawaiian posted EPS of $0.3 on sales of $187.91 million.
Related content: Benzinga's Full Earnings Calendar
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 report earnings in line when it publishes results Friday, quarterly profit would be up 46.67%. Sales would be down 3.43% from the year-ago period. Here is how the company's reported EPS has stacked up against analyst estimates in the past:
| Quarter | Q4 2021 | Q3 2020 | Q2 2020 | Q1 2020 |
|---|---|---|---|---|
| EPS Estimate | 0.44 | 0.28 | 0.22 | 0.38 |
| EPS Actual | 0.50 | 0.50 | 0.16 | 0.30 |
| Revenue Estimate | 184.38 M | 177.36 M | 178.92 M | 186.27 M |
| Revenue Actual | 188.82 M | 182.90 M | 173.48 M | 187.91 M |
Stock Performance
For a full 12 months, the return has risen by 61.8%. Given that these returns are generally positive, long-term shareholders are probably relaxed going into this earnings release. Long-term shareholders are already enjoying 12-month gains prior to the announcement.
Do not be surprised to see the stock move on comments made during its conference call. First Hawaiian is scheduled to hold the call at 13:00:00 ET and can be accessed here.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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