Last Post 11/28/2016 08:34 AM by ferrisbeuler (40) . 1 reply.

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11/19/2016 08:28 PM

EPS and sales
by muz_norton (0) Joined on 11/01/2016 Posts: 3


    i'm only new here and have a question regarding EPS and sales, what am i to read into a healthy EPS but poor sales for the same quarter, for example,

    HA           eps   march 2016  +111%         sales  march 2016   +2%

   SATS        eps  June 2016    +67%            sales June 2016      -5%

I'm thinking lower sales and higher EPS would suggest cost cutting somewhere, would this be cause for concern as cost cutting wouldn't be sustainable over the long term or is there another reason for this, would appreciate anyones help, thank you


11/28/2016 08:34 AM

Re: EPS and sales
by ferrisbeuler (40) Joined on 07/09/2010 Posts: 14

Yes, you are on the right track.  Rising eps is always good- whether cost cutting (company running more efficiently) or from rising revenue.  Long term eps cannot continue to rise without Revenue also rising so it is good to be conscious of this.