Finisar Corporation (NASDAQ:FNSR) will unveil its latest earnings on Wednesday, December 5, 2012. Finisar is a provider of optical subsystems and components that connect short-distance local area networks, or LANs, and storage area networks, or SANs, and longer distance metropolitan area networks, or MANs and wide area networks, or WANs.
Finisar Corporation Earnings Preview Cheat Sheet
Wall St. Earnings Expectations: The average analyst estimate is for profit of 6 cents per share, a decline of 64.7% from the company’s actual earnings for the year-ago quarter. During the past three months, the average estimate has moved down from 14 cents. Between one and three months ago, the average estimate moved down. It has been unchanged at 6 cents during the last month. Analysts are projecting profit to rise by 56.7% compared to last year’s 29 cents.
Past Earnings Performance: The company fell short of estimates last quarter after being in line with forecasts the quarter prior. In the first quarter, it reported net income of 2 cents per share versus a mean estimate of 9 cents. Two quarters ago, it reported profit of 16 cents per share.
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A Look Back: In the first quarter, the company swung to a loss of $6.2 million (7 cents a share) from a profit of $10.1 million (11 cents) a year earlier, missing analyst expectations. Revenue fell 3.4% to $220.5 million from $228.2 million.
Wall St. Revenue Expectations: Analysts predict a decline of 4% in revenue from the year-earlier quarter to $231.8 million.
Analyst Ratings: There are mostly holds on the stock with six of 11 analysts surveyed giving that rating.
On the top line, the company is looking to rebound after a revenue drop last quarter. Revenue rose 1.3% in the the fourth quarter of the last fiscal year after dropping in the first quarter.
Balance Sheet Analysis: The company’s current ratio of assets to liabilities came in at 5.19 last quarter. Having a ratio above 2:1 is usually considered a good indicator of a company’s liquidity and ability to meet creditor demands.
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(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)