Fugro N.V. Just Missed Earnings With A Surprise Loss - Here Are Analysts Latest Forecasts
Shareholders might have noticed that Fugro N.V. (AMS:FUR) filed its interim result this time last week. The early response was not positive, with shares down 8.9% to €11.64 in the past week. Revenues fell 7.3% short of expectations, at €905m. Earnings correspondingly dipped, with Fugro reporting a statutory loss of €0.16 per share, whereas the analysts had previously modelled a profit in this period. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Following last week's earnings report, Fugro's six analysts are forecasting 2025 revenues to be €2.06b, approximately in line with the last 12 months. Statutory earnings per share are predicted to shoot up 36% to €1.63. In the lead-up to this report, the analysts had been modelling revenues of €2.05b and earnings per share (EPS) of €1.42 in 2025. Although the revenue estimates have not really changed, we can see there's been a decent improvement in earnings per share expectations, suggesting that the analysts have become more bullish after the latest result.
See our latest analysis for Fugro
The consensus price target was unchanged at €14.33, implying that the improved earnings outlook is not expected to have a long term impact on value creation for shareholders. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. There are some variant perceptions on Fugro, with the most bullish analyst valuing it at €16.50 and the most bearish at €12.00 per share. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.
Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. We would highlight that revenue is expected to reverse, with a forecast 2.9% annualised decline to the end of 2025. That is a notable change from historical growth of 12% over the last five years. By contrast, our data suggests that other companies (with analyst coverage) in the same industry are forecast to see their revenue grow 3.9% annually for the foreseeable future. So although its revenues are forecast to shrink, this cloud does not come with a silver lining - Fugro is expected to lag the wider industry.
The Bottom Line
The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Fugro following these results. On the plus side, there were no major changes to revenue estimates; although forecasts imply they will perform worse than the wider industry. The consensus price target held steady at €14.33, with the latest estimates not enough to have an impact on their price targets.
With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Fugro going out to 2027, and you can see them free on our platform here..
Plus, you should also learn about the 2 warning signs we've spotted with Fugro .
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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.