Earnings Miss: Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft Missed EPS By 32% And Analysts Are Revising Their Forecasts

Schoeller-Bleckmann Oilfield Equipment Aktiengesellschaft (VIE:SBO) missed earnings with its latest quarterly results, disappointing overly-optimistic forecasters. Results showed a clear earnings miss, with €141m revenue coming in 3.3% lower than what the analystsexpected. Statutory earnings per share (EPS) of €0.63 missed the mark badly, arriving some 32% below what was expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.

See our latest analysis for Schoeller-Bleckmann Oilfield Equipment

Taking into account the latest results, the current consensus from Schoeller-Bleckmann Oilfield Equipment's four analysts is for revenues of €614.4m in 2024. This would reflect a satisfactory 6.1% increase on its revenue over the past 12 months. Statutory earnings per share are predicted to swell 19% to €4.02. In the lead-up to this report, the analysts had been modelling revenues of €606.0m and earnings per share (EPS) of €4.15 in 2024. The analysts seem to have become a little more negative on the business after the latest results, given the small dip in their earnings per share numbers for next year.

The consensus price target held steady at €60.70, with the analysts seemingly voting that their lower forecast earnings are not expected to lead to a lower stock price in the foreseeable future. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values Schoeller-Bleckmann Oilfield Equipment at €71.80 per share, while the most bearish prices it at €50.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Schoeller-Bleckmann Oilfield Equipment shareholders.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The analysts are definitely expecting Schoeller-Bleckmann Oilfield Equipment's growth to accelerate, with the forecast 12% annualised growth to the end of 2024 ranking favourably alongside historical growth of 10% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 4.7% annually. Factoring in the forecast acceleration in revenue, it's pretty clear that Schoeller-Bleckmann Oilfield Equipment is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analysts downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Happily, there were no major changes to revenue forecasts, with the business still expected to grow faster than the wider industry. The consensus price target held steady at €60.70, with the latest estimates not enough to have an impact on their price targets.

Following on from that line of thought, we think that the long-term prospects of the business are much more relevant than next year's earnings. At Simply Wall St, we have a full range of analyst estimates for Schoeller-Bleckmann Oilfield Equipment going out to 2026, and you can see them free on our platform here..

Even so, be aware that Schoeller-Bleckmann Oilfield Equipment is showing 3 warning signs in our investment analysis , you should know about...

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.