II-VI Beats Analyst Estimates on EPS
II-VI (NAS: IIVI) reported earnings on Jan. 24. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q2), II-VI met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded, and earnings per share contracted significantly.
Margins dropped across the board.
II-VI reported revenue of $127 million. The four analysts polled by S&P Capital IQ expected a top line of $128 million. Sales were 4.9% higher than the prior-year quarter's $121 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.25. The four earnings estimates compiled by S&P Capital IQ predicted $0.21 per share on the same basis. GAAP EPS of $0.21 for Q2 were 31% lower than the prior-year quarter's $0.30 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 34.3%, 710 basis points worse than the prior-year quarter. Operating margin was 11.2%, 920 basis points worse than the prior-year quarter. Net margin was 10.5%, 530 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $137 million. On the bottom line, the average EPS estimate is $0.28.
Next year's average estimate for revenue is $553 million. The average EPS estimate is $1.10.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,310 members out of 1,333 rating the stock outperform, and 23 members rating it underperform. Among 459 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 454 give II-VI a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on II-VI is outperform, with an average price target of $21.30.
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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. The Motley Fool owns shares of II-VI. Motley Fool newsletter services have recommended buying shares of II-VI. 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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