Bank of Marin Earnings Preview

Bank of Marin BMRC releases its next round of earnings this Monday, July 19. Here is Benzinga's essential guide to Bank of Marin's Q2 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

Bank of Marin earnings will be near $0.61 per share on sales of $24.73 million, according to analysts. In the same quarter last year, Bank of Marin reported EPS of $0.46 on revenue of $24.38 million.

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.

The analyst consensus estimate would represent a 32.61% increase in the company's earnings. Sales would be up 1.46% on a year-over-year basis. Here is how the company's reported EPS has compared to analyst estimates in the past:

Stock Performance

Shares of Bank of Marin were trading at $32.43 as of July 15. Over the last 52-week period, shares are up 3.61%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Bank of Marin is scheduled to hold the call at 11:30:00 ET and can be accessed here.