Outdoor lifestyle and equipment company Clarus (NASDAQ:CLAR) will be announcing earnings results tomorrow after the bell. Here’s what you need to know.
Clarus beat analysts’ revenue expectations by 2.6% last quarter, reporting revenues of $71.41 million, down 6.7% year on year. It was a slower quarter for the company, with full-year revenue guidance missing analysts’ expectations and a significant miss of analysts’ EPS estimates.
Is Clarus a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Clarus’s revenue to decline 18.9% year on year to $56.23 million, a further deceleration from the 1.4% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.01 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. Clarus has missed Wall Street’s revenue estimates six times over the last two years.
Looking at Clarus’s peers in the leisure products segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Latham posted flat year-on-year revenue, meeting analysts’ expectations, and Harley-Davidson reported a revenue decline of 23.1%, falling short of estimates by 1.2%. Harley-Davidson traded up 5% following the results.
Read our full analysis of Latham’s results here and Harley-Davidson’s results here.
There has been positive sentiment among investors in the leisure products segment, with share prices up 12.7% on average over the last month. Clarus is down 4.4% during the same time and is heading into earnings with an average analyst price target of $4.75 (compared to the current share price of $3.27).
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