Preview: Ollie's Bargain Outlet's Earnings

Ollie's Bargain Outlet OLLI will be releasing its next round of earnings this Thursday, August 26. For all of the relevant information, here is your guide for Thursday's Q2 earnings announcement.

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

Sell-side analysts expect Ollie's Bargain Outlet's EPS to be near $0.55 on sales of $435.75 million. Ollie's Bargain Outlet earnings in the same period a year ago was $1.04 per share. Quarterly sales came in at $529.31 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 47.12% decline in the company's EPS figure. Revenue would have fallen 17.68% from the same quarter last year. Here is how the company's reported EPS has stacked up against analyst estimates in the past:

Want Real-Time Earnings Calendar Updates?

Benzinga consistently updates its earnings calendars to stay up-to-date with the latest company earnings reports. Check out the full earnings calendar list updated in real-time by following this link.

Stock Performance

Shares of Ollie's Bargain Outlet were trading at $83.1 as of August 24. Over the last 52-week period, shares are down 21.38%. Given that these returns are generally negative, long-term shareholders are probably unhappy going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Ollie's Bargain Outlet is scheduled to hold the call at 16:30:00 ET and can be accessed here.