Vibranium has magical powers over Wall Street consensus, as well.
The movie Black Panther, where Wakandans mine the precious metal to create an advanced African society, helped propel Walt Disney Co. to quarterly earnings that easily topped analysts’ expectations. Disney reported earnings per share of US$1.84, compared with the $1.70 per share that analysts expected, according to Thomson Reuters I/B/E/S. Shares rose 1.3 percent to US$103.08 in after-hours trading on Tuesday.
Black Panther, from Disney’s Marvel Studios has exceeded expectations with $1.3 billion in global ticket sales, making it the ninth-highest grossing film in movie history. Its success offset problems in Disney’s media networks unit, where earnings fell as ESPN continued to lose subscribers.
Tuesday evening was a packed night of earnings for Canadian mid-cap and small-cap stocks, with the REIT sector kicking off a busy week. Several of the names were still waiting to drop as the clock ticked into the dinner hour.
Toy company Spin Master Corp. blasted its expectations, posting EPS of 22 US cents, versus expectations of 15 US cents per Thomson Reuters Eikon. Revenue of US$285.7-million easily beat consensus of just under US$249-million. The company has been an expectations master: It’s beaten EPS estimates eight quarters in a row, twice by percentages exceeding 20 per cent, according to Eikon.
Investors, however, may focus on the company reducing its full-year guidance, saying organic gross product sales (revenue from toys owned at least a year, less sales commissions) are now expected to grow in the mid-single digit range, year-over-year, versus the mid-to-high single digit growth rate Spin Master announced in March. The company pointed the finger at the U.S. liquidation of Toys”R”Us, which also prompted a US$15.2 million bad-debt expense in the first-quarter results.
Sun Life Financial Inc. reported $1.26 in “underlying earnings,” versus analyst expectations of $1.11. The company also said it would increase its monthly dividend by 2 cents, to 47.5 cents per share.
Refiner Keyera Corp. reported EPS of 43 cents, topping the Thomson Reuters I/B/E/S consensus estimate of 40 cents. The company said it expects to invest between $900 million and $1 billion in growth projects currently underway, plus the acquisition of 50 per cent of the South Grand Rapids pipeline.
Elsewhere in the sector, Gibson Energy reported 9 cents EPS on $1.7 million in revenue, versus expectations of 7 cents on just under $1.44 million in revenue. Energy-services company ShawCor Ltd. reported EPS of 7 cents versus I/B/E/S consensus of 10 cents. Peyto Exploration & Development Corp. reported 29 cents EPS versus I/B/E/S consensus of 33 cents. And Torc Oil & Gas Ltd. increased its 2018 production guidance and boosted its dividend by 10 per cent while “adjusted funds flow” of 32 cents per share. NuVista Energy Ltd. was expected to report late Tuesday.
Energy-and-chemicals company Superior Plus Corp. boosted its 2918 EBITDA guidance to a range of $305 million to $335 million from a previous range of $295 million to $335 million. That might help offset an earnings miss of 33 cents per share, versus EPS expectations of 53 cents, per Eikon.
In the mining sector, Turquoise Hill Resources Ltd. posted EPS of 4 US cents, versus analyst consensus of 1 US cent. Revenue of $245.6 million came in below consensus of US$251 million, however.
SEMAFO Inc. lost 1 US cent per share, versus a breakeven consensus. Kinross Gold Corp. was expected to announce results; analysts expected, on average, 5 US cents of EPS on just under US$824 million in revenue.
Canadian Apartment Properties REIT was slated to report Tuesday evening, with analysts expecting 45 cents adjusted funds From operations per share on just over $167 million in revenue. Pure Industrial REIT also was expected Tuesday evening, with Riocan REIT following Wednesday morning. Crombie REIT, Dream Global REIT, Killam Apartment REIT follow Wednesday after-market, with several other REITs also scheduled Wednesday.
Insurer Intact Financial Corp. already removed some of the drama from its earnings report, pre-announcing April 10 that it had $130 million, pre-tax, in unexpected losses from severe Canadian winter weather that would shave 70 cents off its EPS. Analysts cut their estimates, and now expect 86 cents EPS on revenue $2.41 –billion.
Two companies that have battled short sellers over the past year-plus were scheduled Tuesday evening. Analysts expected mortgage lender Home Capital Group Inc. to report 40 cents EPS on just under $86-million in revenue. The company’s fourth-quarter earnings beat was only its second in the past eight quarters.
Winnipeg industrial/aviation company Exchange Income Corp. was expected to post 35 cents EPS on just over $259-million in revenue. The company hasn’t missed EPS expectations since 2016.
Wednesday’s before-market calendar is light in Canada, with Boralex Inc. and Torex Gold expected.
With files from Reuters.
Note: The earnings-per-share numbers expected by analysts and reported by the companies are typically adjusted for items they consider special, unusual or non-recurring. The EPS figures in this story may not match the companies’ net income per share as calculated by generally accepted accounting principles.
Note: The earnings-per-share numbers expected by analysts and reported by the companies are typically adjusted for items they consider special, unusual or non-recurring. The EPS figures in this story may not match the companies’ net income per share as calculated by generally accepted accounting principles.
Editor’s note: An incorrect number appeared in an earlier version for Sun Life's dividend
David Milstead