Golf Clap for Finisar
Finisar (NAS: FNSR) reported earnings on Wednesday. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Jan. 29 (Q3), Finisar met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank, and GAAP earnings per share dropped significantly.
Margins shrank across the board.
Finisar booked revenue of $243.0 million. The eight analysts polled by S&P Capital IQ expected sales of $244.8 million on the same basis. GAAP reported sales were 7.6% lower than the prior-year quarter's $263 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.23. The four earnings estimates compiled by S&P Capital IQ predicted $0.23 per share on the same basis. GAAP EPS of $0.09 for Q3 were 59% lower than the prior-year quarter's $0.22 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 30.4%, 200 basis points worse than the prior-year quarter. Operating margin was 5.5%, 520 basis points worse than the prior-year quarter. Net margin was 3.7%, 350 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $248.5 million. On the bottom line, the average EPS estimate is $0.21.
Next year's average estimate for revenue is $960.4 million. The average EPS estimate is $0.87.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 440 members rating the stock outperform and 56 members rating it underperform. Among 91 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 83 give Finisar a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Finisar is outperform, with an average price target of $22.40.
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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. 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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