The Gory Details of Black Box's Earnings Miss
Black Box (NAS: BBOX) reported earnings on July 31. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q1), Black Box missed estimates on revenues and whiffed on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP earnings per share contracted significantly.
Margins shrank across the board.
Black Box notched revenue of $247.8 million. The two analysts polled by S&P Capital IQ foresaw revenue of $254.8 million on the same basis. GAAP reported sales were 7.7% lower than the prior-year quarter's $268.4 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 $0.56. The two earnings estimates compiled by S&P Capital IQ predicted $0.62 per share. GAAP EPS of $0.34 for Q1 were 36% lower than the prior-year quarter's $0.53 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 32.0%, 30 basis points worse than the prior-year quarter. Operating margin was 4.8%, 150 basis points worse than the prior-year quarter. Net margin was 2.4%, 120 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $275.4 million. On the bottom line, the average EPS estimate is $0.76.
Next year's average estimate for revenue is $1.06 billion. The average EPS estimate is $2.88.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 66 members out of 78 rating the stock outperform, and 12 members rating it underperform. Among 18 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 16 give Black Box 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 Black Box is hold, with an average price target of $31.00.
Over the decades, small-cap stocks like Black Box have provided market-beating returns, provided they're value priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Get instant access to this free report.
- Add Black Box to My Watchlist.
The article The Gory Details of Black Box's Earnings Miss originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is the co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no positions in the stocks mentioned above. 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.