Cameco Earnings: Here’s Why Shares are Down Now
Cameco Corp. (NYSE:CCJ) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down over 1%.
Cameco Corp. Earnings Cheat Sheet
Results: Net income decreased -82.97% to $45 million (60 cents per diluted share adjusted for items) in the quarter versus a net gain of $264.23 million in the year-earlier quarter.
Revenue: Decreased 3.38% to $958 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Cameco Corp. reported adjusted net income of 60 cents per share. By that measure, the company beat the mean analyst estimate of $0.42. It beat the average revenue estimate of $795.59 million.
Quoting Management: “2012 was a busy and challenging year; but we again delivered solid results,” said Tim Gitzel, president and CEO. “Our focus in 2013 will be on execution and reducing costs without compromising on our values. We are confident in a positive future for our industry based on its fundamentals. On the demand side, new reactor construction continues in China and there are strong indications that additional plants will be coming back on line in Japan. On the supply side, about 24 million pounds of annual uranium supply will be removed from the market after 2013 with the end of the Russian highly enriched uranium agreement. We are also seeing new mine projects delayed or cancelled due to the prevailing uncertainty in our markets. Cameco remains committed to nuclear energy. We see a great opportunity to grow our business and build value for shareholders and are working to realize it.”
Key Stats (on next page)…