Q: Does the negative EPS on LMN concern you at all or do you feel that the revenue growth is / will be fast enough to warrant continued confidence?
Rough figures taken from RBC Chart: EPS is approximately -$30 and revenue has grown to $140M.
Thanks!
Rough figures taken from RBC Chart: EPS is approximately -$30 and revenue has grown to $140M.
Thanks!
5i Research Answer:
LMN's reporting is a little confusing and the large net losses on the financial statements are due to the accounting treatment for CSU’s preferred shares converted into common shares. LMN actually operates a relatively high margin business and in the most recent quarter, gross margin was 92.87% and EBITDA margin was 23.9%. Analyst forecasts for EPS in 2024 are 82c and $1.04 in 2025.