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A.O. Smith (AOS) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

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A.O. Smith (AOS - Free Report) reported $988.1 million in revenue for the quarter ended December 2023, representing a year-over-year increase of 5.6%. EPS of $0.97 for the same period compares to $0.86 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $989.08 million, representing a surprise of -0.10%. The company delivered an EPS surprise of +1.04%, with the consensus EPS estimate being $0.96.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how A.O. Smith performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Geographic Revenue- North America: $738 million versus $738.08 million estimated by seven analysts on average. Compared to the year-ago quarter, this number represents a +6.7% change.
  • Geographic Revenue- Inter-segment sales: -$10.10 million compared to the -$6.13 million average estimate based on seven analysts. The reported number represents a change of +80.4% year over year.
  • Geographic Revenue- Rest of World: $260.20 million compared to the $256.49 million average estimate based on seven analysts. The reported number represents a change of +4.2% year over year.
  • Segment Operating Earnings (GAAP)- Corporate expense: -$17.10 million versus -$13.52 million estimated by six analysts on average.
View all Key Company Metrics for A.O. Smith here>>>

Shares of A.O. Smith have returned -1% over the past month versus the Zacks S&P 500 composite's +3.4% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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