Jack Henry & Associates Hits Estimates in Solid Quarter
Jack Henry & Associates (NAS: JKHY) reported earnings on May 1. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q3), Jack Henry & Associates met expectations on revenues and earnings per share.
Compared with the prior-year quarter, revenue improved and GAAP earnings per share increased.
Margins grew across the board.
Jack Henry & Associates reported revenue of $256.3 million. The nine analysts polled by S&P Capital IQ expected to see revenue of $255.8 million on the same basis. GAAP reported sales were 6.7% higher than the prior-year quarter's $240.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.42. The 11 earnings estimates compiled by S&P Capital IQ averaged $0.42 per share. GAAP EPS of $0.42 for Q3 were 11% higher than the prior-year quarter's $0.38 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 40.3%, 60 basis points better than the prior-year quarter. Operating margin was 22.0%, 100 basis points better than the prior-year quarter. Net margin was 14.3%, 50 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $264.7 million. On the bottom line, the average EPS estimate is $0.46.
Next year's average estimate for revenue is $1.02 billion. The average EPS estimate is $1.74.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 249 members out of 254 rating the stock outperform, and five members rating it underperform. Among 74 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 74 give Jack Henry & Associates a green thumbs-up, and give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Jack Henry & Associates is hold, with an average price target of $35.00.
Is Jack Henry & Associates playing the right part in the new technology revolution? Computers, mobile devices, and related services are creating huge amounts of valuable data, but only for companies that can crunch the numbers and make sense of it. Meet the leader in this field in "The Only Stock You Need To Profit From the NEW Technology Revolution." Get instant access to this free report.
- Add Jack Henry & Associates to My Watchlist.
At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings. He is the co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.