Hawaiian Electric Industries Third Quarter Earnings Sneak Peek

Hawaiian Electric Industries, Inc. (NYSE:HE) will unveil its latest earnings on Wednesday, November 7, 2012. Hawaiian Electric Industries is a holding company, which through its subsidiaries is engaged in electric utility, banking and other businesses operating mainly in the State of Hawaii.

Hawaiian Electric Industries, Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for net income of 43 cents per share, a decline of 14% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from 51 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 43 cents during the last month. For the year, analysts are projecting profit of $1.60 per share, a rise of 11.1% from last year.

Past Earnings Performance: Last quarter, the company beat estimates by 4 cents, coming in at net income of 40 cents per share against an estimate of profit of. The company also topped expectations in the first quarter.

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A Look Back: In the second quarter, profit rose 42.2% to $39.3 million (40 cents a share) from $27.6 million (28 cents a share) the year earlier, exceeding analyst expectations. Revenue rose 7.5% to $854.3 million from $794.3 million.

Stock Price Performance: Between August 8, 2012 and November 1, 2012, the stock price fell $2.15 (-7.6%), from $28.38 to $26.23. The stock price saw one of its best stretches over the last year between April 18, 2012 and April 27, 2012, when shares rose for eight straight days, increasing 4.9% (+$1.23) over that span. It saw one of its worst periods between October 4, 2012 and October 12, 2012 when shares fell for seven straight days, dropping 2.2% (-59 cents) over that span.

Wall St. Revenue Expectations: Analysts are projecting a decline of 4.2% in revenue from the year-earlier quarter to $849.2 million.

Key Stats:

This upcoming earnings announcement will be a chance to build on positive earnings momentum over the last three quarters. Net income rose 37.8% in the fourth quarter of the last fiscal year and 34.1% in the first quarter before increasing again in the second quarter.

On the top line, the company is looking to build on four-straight revenue increases heading into this earnings announcement. Revenue rose 27.6% in the third quarter of the last fiscal year, 22.3% in the fourth quarter of the last fiscal year and 14.7% in the first quarter before increasing again in the second quarter.

Analyst Ratings: There are mostly holds on the stock with three of five analysts surveyed giving that rating.

Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 1.07 last quarter. The current ratio is an indication of a firm’s liquidity and ability to meet creditor demands and generally, for every dollar the company owes in the short term, it has that figure available in assets that can be converted to cash in the short term.

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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

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