USANA Health Sciences Beats on Both Top and Bottom Lines

Seth Jayson, The Motley Fool
Updated

USANA Health Sciences (NYS: USNA) reported earnings on Feb. 5. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended Dec. 29 (Q4), USANA Health Sciences beat slightly on revenues and beat expectations on earnings per share.

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


Gross margins dropped, operating margins grew, net margins grew.

Revenue details
 USANA Health Sciences logged revenue of $168.5 million. The four analysts polled by S&P Capital IQ expected revenue of $165.6 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $145.9 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $1.27. The five earnings estimates compiled by S&P Capital IQ anticipated $1.21 per share. GAAP EPS of $1.27 for Q4 were 46% higher than the prior-year quarter's $0.87 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 82.1%, 100 basis points worse than the prior-year quarter. Operating margin was 16.7%, 290 basis points better than the prior-year quarter. Net margin was 10.9%, 190 basis points better than the prior-year quarter.

Looking ahead
 Next quarter's average estimate for revenue is $169.3 million. On the bottom line, the average EPS estimate is $1.11.

Next year's average estimate for revenue is $701.6 million. The average EPS estimate is $4.84.

Investor sentiment
 The stock has a two-star rating (out of five) at Motley Fool CAPS, with 225 members out of 410 rating the stock outperform, and 185 members rating it underperform. Among 133 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 56 give USANA Health Sciences a green thumbs-up, and 77 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on USANA Health Sciences is hold, with an average price target of $55.40.

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The article USANA Health Sciences Beats on Both Top and Bottom Lines originally appeared on Fool.com.

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 has no position in any of the stocks mentioned. 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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