Industrial and commercial distributor Global Industrial (NYSE:GIC) will be announcing earnings results tomorrow after market hours. Here’s what investors should know.
Global Industrial missed analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $302.3 million, down 5.6% year on year. It was a slower quarter for the company, with a miss of analysts’ EPS estimates.
Is Global Industrial a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Global Industrial’s revenue to decline 5.1% year on year to $307 million, a reversal from the 18.1% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.20 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Global Industrial has missed Wall Street’s revenue estimates four times over the last two years.
Looking at Global Industrial’s peers in the industrial distributors segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Fastenal delivered year-on-year revenue growth of 3.4%, meeting analysts’ expectations, and MSC Industrial reported a revenue decline of 4.7%, falling short of estimates by 0.8%. Fastenal traded up 7.3% following the results while MSC Industrial was down 10.3%.
Read our full analysis of Fastenal’s results here and MSC Industrial’s results here.
Investors in the industrial distributors segment have had fairly steady hands going into earnings, with share prices down 1.4% on average over the last month. Global Industrial is down 1.3% during the same time and is heading into earnings with an average analyst price target of $38 (compared to the current share price of $22.12).
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