SodaStream 1Q results top Street, lifts outlooks

SodaStream 1Q results beat Wall Street's view, raises 2012 adj. profit, revenue forecasts

Associated Press

NEW YORK (AP) -- SodaStream's first-quarter net income climbed 20 percent as usage of its carbonated beverage machines continued to grow in the U.S.

The company's results beat Wall Street's view. It also boosted its full-year adjusted earnings and revenue forecasts on Wednesday, citing the quarterly performance.

But shares fell in premarket trading. Investors' expectations may have been high for the fast-growing company, or they may have been rattled that its revenue growth slowed from the subsequent quarter.

SodaStream earned $12.1 million, or 57 cents per share, for the three months ended March 31. A year ago, it earned $10.1 million, or 48 cents per share.

Taking out certain items, earnings were 68 cents per share.

Analysts polled by FactSet, on average, expected earnings of 65 cents per share.

Revenue increased 34 percent to $117.6 million from $87.9 million, benefiting from strength in the Americas and Western Europe. Revenue dipped slightly in the Asia Pacific region and was flat for Central and Eastern Europe, the Middle East and Africa.

Wall Street was looking for total revenue of $115.5 million.

While quarterly revenue improved from a year ago, it was down from the fourth-quarter's $132.9 million.

Shares of SodaStream International Ltd. declined $3.38, or 6.4 percent, to $49.73 before the market open. The stock closed Tuesday's session at $53.11, up 18 percent since the start of the year.

The company said that sales of consumables — which includes gas refills and flavors — rose 19.6 percent to $72 million. Soda maker starter kit sales climbed 9.5 percent to $43 million.

For the full year, SodaStream now anticipates adjusted earnings will rise about 27 percent from 2012's $50 million and revenue will climb approximately 27 percent from the previous year's $436.3 million. The company's previous outlook was for adjusted earnings and revenue to both increase 25 percent.

The revised forecasts imply full-year adjusted earnings of $63.5 million and revenue of $554.3 million.

Analysts predict revenue of $547.5 million.

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