Johnson Controls Intl's Earnings Outlook

Johnson Controls Intl JCI announces its next round of earnings this Friday, April 30. Here is Benzinga's everything-that-matters guide for this Friday's Q2 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

Analysts predict Johnson Controls Intl will report earnings of $0.49 per share on revenue of $5.60 billion. In the same quarter last year, Johnson Controls Intl posted EPS of $0.42 on sales of $5.44 billion.

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

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 consensus estimate for earnings would represent a 16.67% increase for the company. Sales would be up 2.87% from the year-ago period. Johnson Controls Intl's reported EPS has stacked up against analyst estimates in the past like this:

Stock Performance

Over the last 52-week period, shares are up 126.17%. Given that these returns are generally positive, long-term shareholders can relax 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. Johnson Controls Intl is scheduled to hold the call at 08:30:00 ET and can be accessed here.