Marrone Bio (MBII) Q3 Earnings In Line, Sales Trail Estimates
Marrone Bio Innovations, Inc.
MBII logged a net loss of $4.4 million or 4 cents per share in
third-quarter 2018, narrower than a loss of $8.5 million or 27
cents per share a year ago. Loss per share was in line with the
Zacks Consensus Estimate.
The bottom line in the reported quarter was supported by a
significant improvement in gross margin and lower operating
expenses on a year-over-year basis.
Marrone Bio Innovations, Inc. Price, Consensus and EPS Surprise
Marrone Bio Innovations, Inc. Price, Consensus and EPS Surprise | Marrone Bio Innovations, Inc. Quote
Revenues & Margins
Marrone Bio’s revenues climbed roughly 29% year over year to $5.4
million in the quarter, but missed the Zacks Consensus Estimate of
$7.2 million. Product revenues rose 28% year over year to $5.3
million while license revenues shot up 98% to $115 million in the
quarter.
Gross margin for the quarter was 48.3%, an improvement from 40.9%
recorded a year ago. Operating expenses fell 19% year over year to
$6.8 million.
Financials
Marrone Bio ended the quarter with cash and cash equivalents of
around $20.5 million, a five-and-a-half-fold year over year
increase. Long-term debt was around $11.9 million, down around 43%
year over year. Net cash used in operations was roughly $16.8
million for the first nine months of 2018, compared with $14.4
million of cash used for the same period a year ago.
Outlook
Marrone Bio said that it is seeing encouraging trends across its
business, especially in three main areas of focus -- growing
revenues, diligently managing operating expenses and increasing
gross margins over the long term. The company believes that it is
well placed to continue to execute its business plan, creating
shareholders’ value over the long term.
Price Performance
Marrone Bio has outperformed the industry it belongs to over a
year. The company’s shares have rallied around 23.9% over this
period compared with the industry’s decline of 17.5% over the same
period.
Zacks Rank & Stocks to
Consider
Marrone Bio currently carries a Zacks Rank #3 (Hold).
Better-ranked stocks in the basic materials space include Methanex
Corporation MEOH, CF Industries Holdings, Inc. CF and KMG
Chemicals, Inc. KMG.
Methanex has expected long-term earnings growth rate of 15% and
sports a Zacks Rank #1 (Strong Buy). Its shares have gained 22% in
the past year. You can see the complete list of today’s
Zacks #1 Rank stocks here.
CF Industries has expected long-term earnings growth rate of 6% and
carries a Zacks Rank #1. Its shares have rallied 40% in a
year.
KMG Chemicals has expected long-term earnings growth rate of 28.5%
and carries a Zacks Rank #2 (Buy). Its shares have shot up 45% in
the past year.
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