Hits Estimates, but GAAP Results Lag Last Year's (NAS: SOHU) reported earnings yesterday. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), met expectations on revenues and met expectations on earnings per share.

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

Margins dropped across the board.

Revenue details booked revenue of $246.2 million. The 14 analysts polled by S&P Capital IQ expected to see a top line of $243.8 million. Sales were 42% higher than the prior-year quarter's $173.2 million.


Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
Non-GAAP EPS came in at $1.27. The 10 earnings estimates compiled by S&P Capital IQ anticipated $1.27 per share on the same basis. GAAP EPS of $0.65 for Q4 were 39% lower than the prior-year quarter's $1.07 per share.


Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 71.3%, 250 basis points worse than the prior-year quarter. Operating margin was 30.9%, 890 basis points worse than the prior-year quarter. Net margin was 10.9%, 1,450 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $239.4 million. On the bottom line, the average EPS estimate is $0.71.

Next year's average estimate for revenue is $1.06 billion. The average EPS estimate is $3.67.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,133 members out of 1,202 rating the stock outperform, and 69 members rating it underperform. Among 343 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 325 give a green thumbs-up, and 18 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on is outperform, with an average price target of $80.40.

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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. Motley Fool newsletter services have recommended buying shares of 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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