A Preview Of Modine Manufacturing's Earnings

Modine Manufacturing MOD releases its next round of earnings this Wednesday, May 26. Get the latest predictions in Benzinga's essential guide to the company's Q4 earnings report.

Net Income, Earnings, 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 Modine Manufacturing's EPS to be near $0.27 on sales of $493.03 million. Modine Manufacturing reported a per-share profit of $0.24 when it published results during the same quarter last year. Sales in that period totaled $472.90 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 analyst consensus estimate would represent a 12.5% increase in the company's EPS figure. Sales would be have grown 4.26% from the same quarter last year. Modine Manufacturing's reported EPS has stacked up against analyst estimates in the past like this:

Stock Performance

Shares of Modine Manufacturing were trading at $16.74 as of May 24. Over the last 52-week period, shares are up 213.05%. Given that these returns are generally positive, long-term shareholders can be satisfied going into this earnings release.

Do not be surprised to see the stock move on comments made during its conference call. Modine Manufacturing is scheduled to hold the call at 09:00:00 ET and can be accessed here.