Sotheby's Posts Earnings Surprise in 'Traditional Loss Quarter'

In what it is heralding as its "strongest first quarter results in its history in a traditional loss quarter," Sotheby's reported net earnings of $24.3 million, versus a loss in the prior-year period, on strong London contemporary art sales. Revenue was $147 million, up 54% vs. the prior-year period. EPS was $0.37. Excluding one-time items, EPS was $0.25, way ahead of Thomson Financial consensus analyst estimates of $0.06 on sales of $133.4 million. The company declared a regular quarterly dividend of $0.10, to be paid to shareholders of record on May 31. Looking forward, the company expects strong sales in the second quarter. It did not give specific guidance due to the nature of the auction business. Shares rose $2.11, or 4.22%, to $52.11 in regular trading Monday, after earnings were announced.

Sources: Press Release, Bloomberg, MarketWatch, Reuters, AP
Commentary: Sotheby's May Impressionist Auction Could Bid Up The Stock • Sotheby's Wishful Infeasability: "All Art Deals With the Absurd" • Cramer's Take on BID
Stocks/ETFs to watch: Sotheby's (BID)
Related: Sotheby's Investor Relations

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