Earnings Preview for Advanced Drainage Systems

Advanced Drainage Systems WMS announces its next round of earnings this Thursday, May 20. Here is Benzinga's everything-that-matters guide for this Thursday's Q4 earnings announcement.

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 covering Advanced Drainage Systems modeled for quarterly EPS of $0.32 on revenue of $402.37 million. In the same quarter last year, Advanced Drainage Systems reported EPS of $0.01 on revenue of $370.77 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 3100.0% increase for the company. Revenue would be up 8.52% from the same quarter last year. Here is how the company's EPS has stacked up against analyst estimates in the past:

Stock Performance

Over the last 52-week period, shares of Advanced Drainage Systems are up 150.57%.

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