Rofin-Sinar Technologies Misses on the Top and Bottom Lines
Rofin-Sinar Technologies (NAS: RSTI) reported earnings on May 3. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 31 (Q2), Rofin-Sinar Technologies missed estimates on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue shrank and GAAP earnings per share dropped significantly.
Margins contracted across the board.
Rofin-Sinar Technologies reported revenue of $129.4 million. The four analysts polled by S&P Capital IQ expected sales of $133.2 million on the same basis. GAAP reported sales were 5.0% lower than the prior-year quarter's $136.2 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 $0.28. The four earnings estimates compiled by S&P Capital IQ predicted $0.29 per share. GAAP EPS of $0.28 for Q2 were 35% lower than the prior-year quarter's $0.43 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 37.7%, 250 basis points worse than the prior-year quarter. Operating margin was 9.1%, 450 basis points worse than the prior-year quarter. Net margin was 6.2%, 310 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $140.3 million. On the bottom line, the average EPS estimate is $0.32.
Next year's average estimate for revenue is $576.6 million. The average EPS estimate is $1.52.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,212 members out of 1,235 rating the stock outperform, and 23 members rating it underperform. Among 392 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 390 give Rofin-Sinar Technologies a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Rofin-Sinar Technologies is outperform, with an average price target of $31.01.
Over the decades, small-cap stocks, like Rofin-Sinar Technologies have provided market-beating returns, provided they're value priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add Rofin-Sinar Technologies 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. The Motley Fool owns shares of Rofin-Sinar Technologies. Motley Fool newsletter services have recommended buying shares of Rofin-Sinar Technologies. 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.