LTX-Credence Beats on Both Top and Bottom Lines
LTX-Credence (NAS: LTXC) reported earnings on May 23. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended April 30 (Q3), LTX-Credence beat slightly on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share dropped to a loss.
Margins dropped across the board.
LTX-Credence logged revenue of $30.8 million. The four analysts polled by S&P Capital IQ expected to see revenue of $30.5 million on the same basis. GAAP reported sales were 47% lower than the prior-year quarter's $58.7 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 -$0.10. The five earnings estimates compiled by S&P Capital IQ predicted -$0.13 per share. GAAP EPS were -$0.14 for Q3 compared to $0.47 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 51.3%, 1,090 basis points worse than the prior-year quarter. Operating margin was -19.6%, 3,750 basis points worse than the prior-year quarter. Net margin was -21.5%, 6,180 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $44.0 million. On the bottom line, the average EPS estimate is $0.04.
Next year's average estimate for revenue is $132.7 million. The average EPS estimate is -$0.32.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 108 members out of 121 rating the stock outperform, and 13 members rating it underperform. Among 20 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 18 give LTX-Credence a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on LTX-Credence is outperform, with an average price target of $9.00.
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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 here. He is 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 may not 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.
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