Transcat (TRNS) reports Q4 earnings: What key metrics have to say

For the quarter ended March 2025, Transcat, Inc. reported revenue of $77.13 million, up 8.8% over the same period last year. EPS came in at $0.64, compared to $0.77 in the year-ago quarter.

The reported revenue represents a surprise of +0.44% over the Zacks Consensus Estimate of $76.8 million. With the consensus EPS estimate being $0.66, the EPS surprise was -3.03%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

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 Transcat performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Revenue- distribution sales: $25.12 million compared to the $26.57 million average estimate based on three analysts. The reported number represents a change of +3.9% year over year.
• Revenue- service revenue: $52.01 million versus $50.24 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +11.3% change.
• Gross profit- distribution: $7.09 million compared to the $8 million average estimate based on three analysts.
• Gross profit- service: $18.83 million compared to the $16.99 million average estimate based on three analysts.

Shares of Transcat have returned -4% over the past month versus the Zacks S&P 500 composite's +13.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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