Preview: SpartanNash's Earnings

SpartanNash SPTN announces its next round of earnings this Wednesday, June 02. Here is Benzinga's look at SpartanNash's Q1 earnings report.

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

SpartanNash EPS will likely be near $0.56 while revenue will be around $2.70 billion, according to analysts. In the same quarter last year, SpartanNash announced EPS of $0.67 on revenue of $2.86 billion.

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.

If the company were to report earnings in line when it publishes results Wednesday, quarterly profit would be down 16.42%. Revenue would be down 5.46% from the same quarter last year. Here is how the SpartanNash's reported EPS has stacked up against analyst estimates in the past:

Stock Performance

Shares of SpartanNash were trading at $20.97 as of May 31. Over the last 52-week period, shares are down 4.93%. Given that these returns are generally negative, long-term shareholders are probably upset going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. SpartanNash is scheduled to hold the call at 08:00:00 ET and can be accessed here.