Charting Endologix's Latest Earnings Release

Endologix (NAS: ELGX) reported earnings on July 30. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended June 30 (Q2), Endologix met expectations on revenues and exceeded expectations on earnings per share.

Compared to the prior-year quarter, revenue grew significantly. Non-GAAP loss per share dropped. GAAP earnings per share increased.


Gross margins shrank, operating margins increased, net margins grew.

Revenue details
Endologix logged revenue of $34.0 million. The five analysts polled by S&P Capital IQ predicted revenue of $33.9 million on the same basis. GAAP reported sales were 33% higher than the prior-year quarter's $25.5 million.

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

EPS details
EPS came in at -$0.03. The five earnings estimates compiled by S&P Capital IQ predicted -$0.06 per share. Non-GAAP EPS were -$0.03 for Q2 against -$0.09 per share for the prior-year quarter. GAAP EPS were $0.09 for Q2 compared to -$0.11 per share for the prior-year quarter.

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

Margin details
For the quarter, gross margin was 73.6%, 180 basis points worse than the prior-year quarter. Operating margin was -7.4%, much better than the prior-year quarter. Net margin was 16.7%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $33.1 million. On the bottom line, the average EPS estimate is -$0.05.

Next year's average estimate for revenue is $132.7 million. The average EPS estimate is -$0.19.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 54 members out of 65 rating the stock outperform, and 11 members rating it underperform. Among 17 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 14 give Endologix a green thumbs-up, and three give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Endologix is buy, with an average price target of $17.40.

Looking for alternatives to Endologix? It takes more than great companies to build a fortune for the future. Learn the basic financial habits of millionaires next door and get focused stock ideas in our free report, "3 Stocks That Will Help You Retire Rich." Click here for instant access to this free report.

The article Charting Endologix's Latest Earnings Release 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. 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.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Can't get enough business news?

Sign up for Finance Report by AOL and get everything from retailer news to the latest IPOs delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.