UTi Worldwide Misses on Revenues but Beats on EPS

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UTi Worldwide (NAS: UTIW) reported earnings on Thursday. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Jan. 31 (Q4), UTi Worldwide missed estimates on revenues and beat expectations on earnings per share.

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

Gross margins improved, operating margins increased, and net margins dropped.

Revenue details
UTi Worldwide notched revenue of $1.15 billion. The nine analysts polled by S&P Capital IQ expected a top line of $1.20 billion on the same basis. GAAP reported sales were 0.7% higher than the prior-year quarter's $1.15 billion.


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

EPS details
Non-GAAP EPS came in at $0.20. The 12 earnings estimates compiled by S&P Capital IQ predicted $0.16 per share on the same basis. GAAP EPS of $0.12 for Q4 were 14% lower than the prior-year quarter's $0.14 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 15.9%, 10 basis points better than the prior-year quarter. Operating margin was 2.5%, 20 basis points better than the prior-year quarter. Net margin was 1.1%, 20 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $1.24 billion. On the bottom line, the average EPS estimate is $0.15.

Next year's average estimate for revenue is $5.28 billion. The average EPS estimate is $0.97.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 96 members rating the stock outperform and nine members rating it underperform. Among 35 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 33 give UTi Worldwide 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 UTi Worldwide is outperform, with an average price target of $18.44.

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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. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.

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