Giant Interactive Group Earnings:Here’s Why Investors Like These Results
Giant Interactive Group, Inc. (NYSE:GA) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 4.55%.
Giant Interactive Group, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 94.12% to $0.01 in the quarter versus EPS of $0.17 in the year-earlier quarter.
Revenue: Decreased 0% to $87.5 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Giant Interactive Group, Inc. reported adjusted EPS income of $0.01 per share. By that measure, the company missed the mean analyst estimate of $0.2. It missed the average revenue estimate of $90.96 million.
Quoting Management: “We are very pleased with our record fourth quarter revenue and Adjusted EBITDA, as we experienced strong sales volume in all product categories during the 2012 holiday season. This quarter we successfully refinanced our debt, substantially lowering our interest expense for 2013 and beyond. We will be using some of our cash from operations to pay down debt as well as to purchase our stock opportunistically in the open market,” said Brandon O’Brien, ZAGG CFO.
Key Stats (on next page)…