Workflow
Karooooo Ltd. (KARO) Q1 Earnings Beat Estimates
Karooooo .Karooooo .(US:KARO) ZACKSยท2025-07-22 22:41

Group 1: Earnings Performance - Karooooo Ltd. reported quarterly earnings of $0.47 per share, exceeding the Zacks Consensus Estimate of $0.45 per share, and up from $0.39 per share a year ago, representing an earnings surprise of +4.44% [1] - Over the last four quarters, the company has surpassed consensus EPS estimates four times [2] - The company posted revenues of $69.85 million for the quarter ended May 2025, which missed the Zacks Consensus Estimate by 2.26%, compared to year-ago revenues of $58.29 million [2] Group 2: Stock Performance and Outlook - Karooooo shares have increased approximately 12.6% since the beginning of the year, outperforming the S&P 500's gain of 7.2% [3] - The company's earnings outlook is crucial for investors, as it includes current consensus earnings expectations for upcoming quarters and any recent changes to these expectations [4] - The current consensus EPS estimate for the coming quarter is $0.45 on revenues of $73.4 million, and for the current fiscal year, it is $1.87 on revenues of $301.03 million [7] Group 3: Industry Context - The Internet - Software industry, to which Karooooo belongs, is currently ranked in the top 32% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5] - The Zacks Rank for Karooooo is currently 3 (Hold), suggesting that the shares are expected to perform in line with the market in the near future [6]