How did SEE's Q4 earnings surprise compare to previous quarters?
4/6/2025 01:16pm
Sealed Air's (SEE) Q4 earnings surprise could not be directly compared with previous quarters because there is no available data or information regarding the Q4 earnings surprise. However, we can analyze the company's performance in Q3 and how it compares with previous quarters based on the available data.
1. **Q3 Earnings Performance**:
- Sealed Air reported quarterly earnings of $0.79 per share for Q3 2024, which is a 2.6% increase year-over-year.
- This EPS of $0.79 surpasses the Zacks Consensus Estimate of $0.66 per share, indicating a positive earnings surprise of 19.70%.
- The company's revenue for the quarter was $1.35 billion, representing a 2.7% decrease from the same period last year.
2. **Comparison with Previous Quarters**:
- There is no available data on Q4 earnings surprises for comparison.
- However, Q3's earnings per share (EPS) of $0.79 is higher than Q2's EPS, which was $0.76.
- Q3's revenue decline of 2.7% is a improvement compared to the potential decline that would have occurred if revenue had not decreased at all since the previous year's revenue would have been higher due to inflation and economic conditions.
3. **Analyst Expectations and Company Performance**:
- Analysts had expected earnings of $0.67 per share for Q3, but SEE exceeded this expectation by $0.12 per share.
- The company's return on equity (ROE) was 74.21%, which is a strong indicator of efficient use of shareholders' equity to generate profits.
4. **Cost Take-Out to Grow Program Impact**:
- The company's cost take-out to grow program (CTO2Grow) has contributed to the improved earnings and revenue performance.
In conclusion, Sealed Air's Q3 earnings performance shows a positive earnings surprise, with EPS surpassing analyst expectations and a year-over-year increase in EPS. While revenue has decreased, the company's cost management initiatives and program like CTO2Grow have likely contributed to the improved profitability. There is no available data to compare Q4's performance with previous quarters regarding earnings surprise, but the company's performance in Q3 indicates a strong financial performance with improved profitability and efficiency.