Lumine Group Q2 revenue slightly misses estimates as acquisitions drive growth
Lumine Group Q2 revenue slightly misses estimates as acquisitions drive growth
Overview
Canada communications software firm's Q2 revenue rose 28%, slightly missing analyst expectations
Net income fell 35% on acquisition costs, higher amortization, financing, and tax expenses
Company completed two acquisitions post-quarter for $233.7 mln to expand media supply chain presence
Outlook
Company did not provide specific guidance for future periods
Result Drivers
ACQUISITIONS - Co said revenue growth was mainly attributable to contributions from new acquisitions
MODEST ORGANIC GROWTH - Co reported organic growth of 1% after adjusting for currency impacts
ACQUISITION COSTS AND AMORTIZATION - Co said net income decline was mainly due to non-recurring acquisition costs, higher amortization, financing, and tax expenses
Company press release: ID:nGNX8LYr4S
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Slight Miss* | $235.10 mln | $235.13 mln (3 Analysts) |
Q2 Net Income |
| $15.40 mln |
|
Q2 Cash Flow from Operations |
| $68.50 mln |
|
Q2 Free Cash Flow |
| $60.40 mln |
|
Q2 Operating Income |
| $75.30 mln |
|
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the investment management & fund operators peer group is "buy"
Wall Street's median 12-month price target for Lumine Group Inc is C$37.50, about 54.7% above its July 31 closing price of C$24.24
The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 18 three months ago
Reuters Recommended Reads
Aug 3 - Canada's 5N Plus Q2 revenue beats estimates on Specialty Semiconductors and Performance Materials volumes
Aug 4 - FIS Q2 revenue rises 29% on acquisition boost
Aug 3 - New Zealand's Vista Group half-year revenue rises, lifts outlook
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
Recent news on Lumine
See all newsLumine Group Q2 revenue slightly misses estimates as acquisitions drive growth
Brief: Lumine Group Q2 Revenue USD 235.1 Million
Brief: Lumine Group Acquires Imagine Communications
Brief: Lumine Group Enters Into An Agreement To Acquire The Video Network Business From Synamedia
Canada's Lumine Group Q1 revenue misses estimates