Why did CODI's EPS fall short in Q2 2024?

Compass Diversified (CODI) experienced a decline in its EPS in Q2 2024, with the EPS falling short of expectations. This can be attributed to several key factors:

1. **Revenue Shortfall**: Although the company's revenue for Q2 2024 was not provided, it is important to note that CODI's total revenue for Q1 2024 was $524.3 million, which was a 3.3% decrease from the same period in the previous year. This decline in revenue could contribute to the EPS falling short of expectations.
2. **Net Loss Increase**: In Q1 2024, Compass Diversified reported a net loss of $4.99 million, which was a 250% increase from the net loss in Q1 2023. This significant increase in net losses can have a direct impact on the EPS, leading to a lower EPS figure.
3. **Analyst Expectations**: Analysts had expected an EPS of $0.41 for Q2 2024, but the actual EPS fell short of this expectation. This discrepancy could be due to the factors mentioned above, such as the revenue shortfall and increased net losses.

In conclusion, the decline in CODI's EPS in Q2 2024 can be attributed to a combination of factors, including a revenue shortfall and increased net losses. These factors, coupled with higher-than-expected expenses or lower-than-expected operating income, can lead to a lower EPS figure.