Hi-Tech Pharmacal Increases Sales but Misses Estimates on Earnings
Hi-Tech Pharmacal (NAS: HITK) reported earnings on March 8. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Jan. 31 (Q3), Hi-Tech Pharmacal beat expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share stayed the same.
Margins dropped across the board.
Hi Tech Pharmacal recorded revenue of $55.6 million. The four analysts polled by S&P Capital IQ wanted to see a top line of $54.2 million on the same basis. GAAP reported sales were 11% higher than the prior-year quarter's $50.0 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 $0.79. The four earnings estimates compiled by S&P Capital IQ predicted $0.83 per share. GAAP EPS of $0.79 were the same as the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 55.3%, 120 basis points worse than the prior-year quarter. Operating margin was 28.0%, 60 basis points worse than the prior-year quarter. Net margin was 19.4%, 90 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $56.3 million. On the bottom line, the average EPS estimate is $0.81.
Next year's average estimate for revenue is $223.3 million. The average EPS estimate is $3.69.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 221 members out of 240 rating the stock outperform, and 19 members rating it underperform. Among 60 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 56 give Hi-Tech Pharmacal a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hi-Tech Pharmacal is hold, with an average price target of $37.
The drug and health-care investing landscape is littered with also-rans and a few major winners. Is Hi-Tech Pharmacal the right stock for you? Read "Discover the Next Rule-Breaking Multibagger" to learn about a company Fool co-founder David Gardner believes will be a phenomenal success over the next few years. Click here for instant access to this free report.
- Add Hi-Tech Pharmacal to My Watchlist.
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.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.