Franklin Covey Beats on Both Top and Bottom Lines

Before you go, we thought you'd like these...
Before you go close icon

Franklin Covey (NYS: FC) reported earnings on Jan. 3. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 1 (Q1), Franklin Covey beat expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded and GAAP earnings per share grew significantly.


Gross margins were steady, operating margins grew, net margins expanded.

Revenue details
Franklin Covey logged revenue of $44.1 million. The four analysts polled by S&P Capital IQ hoped for revenue of $42.9 million on the same basis. GAAP reported sales were 11% higher than the prior-year quarter's $39.5 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.15. The three earnings estimates compiled by S&P Capital IQ forecast $0.13 per share. GAAP EPS of $0.15 for Q1 were 67% higher than the prior-year quarter's $0.09 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 67.1%, about the same as the prior-year quarter. Operating margin was 12.0%, 260 basis points better than the prior-year quarter. Net margin was 6.6%, 240 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $41.8 million. On the bottom line, the average EPS estimate is $0.10.

Next year's average estimate for revenue is $188.2 million. The average EPS estimate is $0.61.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Franklin Covey is outperform, with an average price target of $17.75.

Looking for alternatives to Franklin Covey? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.

The article Franklin Covey Beats on Both Top and Bottom Lines 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 co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. TMFDisclosureHere

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners