Earnings & Revenue

Covers corporate earnings analysis — quarterly results, EPS, revenue growth, profit margins, earnings surprises and guidance. Learn to evaluate what a company truly earns.

How to Read a Company's Quarterly Results in India Read a company's quarterly results with five numbers — revenue, operating margin, net profit, debt change, and operating cash flow… 5 min read
What is Q1, Q2, Q3 and Q4 in Company Results? Q1, Q2, Q3, and Q4 represent the four three-month periods in a company's financial year used for reporting its performance. Learni… 5 min read
Why Do Stock Prices Move on Quarterly Results Day? Stock prices move on quarterly results day because the market finally compares its forecast to reality. The gap between expected a… 5 min read
How to Read a Quarterly Results Press Release Step by Step Reading a quarterly results press release means analyzing five sections in order: headline numbers, segment revenue, margin trends… 5 min read
What is the Q1 Results Season in India — When Does It Happen? The Q1 results season in India runs from early July to mid-August each year. IT companies like TCS and Infosys report first, follo… 5 min read
How to Use EPS to Compare Companies in the Same Sector To use EPS for comparing companies, first find the diluted EPS for companies in the same sector from their quarterly results. Then… 5 min read
What is Adjusted EPS vs Reported EPS? Reported EPS follows Ind AS rules and includes every one-time gain or loss, while Adjusted EPS strips out non-recurring items to s… 5 min read
EPS for Beginners — The One Number Every Investor Should Understand Earnings Per Share (EPS) shows how much profit a company makes for each share of its stock. For beginners learning how to read qua… 5 min read
Revenue Quality Checklist — 8 Signs Revenue is Sustainable Revenue quality is more important than the headline number in a company's results. Sustainable revenue is recurring, comes from ma… 5 min read
What is Forward EPS vs Trailing EPS? Trailing EPS is what a company has actually earned in the last 12 months, while forward EPS is what analysts expect over the next … 5 min read
Is Rising Revenue Without Profits a Good Sign? Rising revenue without profits can be a positive sign for a growth-focused company reinvesting in its future. However, it can also… 5 min read
What is Cash EPS vs Accounting EPS? Cash EPS measures the actual cash a company generates per share from its operations, while Accounting EPS is based on net income, … 5 min read
What is Gross Profit Margin? Gross profit margin shows how much money a company has left from sales after paying for the direct costs of making its goods or se… 5 min read
What is Contribution Margin and How to Calculate It? Contribution margin is the revenue a company has left over after subtracting all variable costs associated with production. To cal… 5 min read
EBITDA vs Free Cash Flow — Which is a Better Measure of Profitability? For most investors, Free Cash Flow (FCF) is a better measure of profitability because it shows the actual cash a company has after… 5 min read
8 Cost Red Flags to Watch in a Manufacturing Company's Results When you read a manufacturing company's quarterly results, pay close attention to cost red flags like rising COGS or declining gro… 5 min read
How Interest Rates Affect Net Profit Margins of Leveraged Companies A 1% rise in interest rates can erode 200-400 basis points off the net profit margin of a leveraged Indian company. Reading quarte… 5 min read
Earnings Surprise vs Revenue Surprise — Which Moves the Stock More? Earnings surprises often cause a bigger, more immediate stock price reaction because they directly relate to profitability. Howeve… 5 min read
Earnings Surprise Stocks for Short-Term Investors — How to Find Them To find earnings surprise stocks, short-term investors need to compare a company's actual quarterly profits against what financial… 5 min read
How to Read Between the Lines in a CEO's Quarterly Commentary To read quarterly results of a company effectively, you must analyze the CEO's commentary for hidden clues. Pay attention to their… 5 min read
What is Analyst Day and Why Do Companies Hold Investor Days? An Analyst Day, or Investor Day, is a special event where a company's leadership presents its long-term strategy, products, and fi… 5 min read
How to Evaluate Revenue Recognition Policy in Annual Report Notes To evaluate a company's revenue recognition policy, you must first find the "Significant Accounting Policies" note in their annual… 5 min read
Is Consistent Earnings Growth More Valuable Than Explosive Growth? Consistent earnings growth is often more valuable for long-term investors than explosive growth. This is because consistency indic… 5 min read