Harte-Hanks Earnings: Here’s Why the Stock is Up Now
Harte-Hanks Inc. (NYSE:HHS) delivered a profit and met 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 0.53%.
Harte-Hanks Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 0% to $0.11 in the quarter versus EPS of $0.11 in the year-earlier quarter.
Revenue: Decreased 8.64% to $178.3 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Harte-Hanks Inc. reported adjusted EPS income of $0.11 per share. By that measure, the company missed the mean analyst estimate of $0.11. It missed the average revenue estimate of $178.9 million.
Quoting Management: Commenting on the first quarter performance, Chairman, President and Chief Executive Officer Larry Franklin said, “While we expected Direct Marketing revenue and operating income to decline, first quarter Direct Marketing revenues and operating income were below our expectations, down 5.1% and 18.1%, respectively. Declines were concentrated primarily in two areas: high-tech business-to-business lead generation and pharmaceutical fulfillment. While, the Direct Marketing transformation is an evolving process, we are excited about our progress and growth opportunities. Shoppers exceeded our expectation with a 1.3% revenue decline and $0.5 million decline in operating income. While it is still early, we are seeing signs of stabilizing performance in Shoppers.”
Key Stats (on next page)…