Brooks Automation Earnings: Here’s Why Investors Don’t Like These Results

Brooks Automation Inc. (NASDAQ:BRKS) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 3.93%.

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Brooks Automation Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 95% to $0.01 in the quarter versus EPS of $0.20 in the year-earlier quarter.

Revenue: Decreased 16.32% to $116.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Brooks Automation Inc. reported adjusted EPS income of $0.01 per share. By that measure, the company beat the mean analyst estimate of $-0.02. It beat the average revenue estimate of $107.03 million.

Quoting Management: “Our revenue exceeded our expectations in the second quarter as we experienced semiconductor front-end recovery in both our Services and Product Solutions businesses sequentially, as expected, offsetting our Life Sciences revenue decline. The integration of Crossing Automation’s products into our Brooks portfolio is ahead of schedule and was a solid contributor during the quarter,” said Steve Schwartz, President and Chief Executive Officer of Brooks. “We continue to have a strong market share in Life Sciences even though our revenue was less than expected in the quarter due to delays in finalizing store installations and funding uncertainty, which caused a pull-back on device and consumables demand. Heading into our third fiscal quarter, we are seeing our growth coming from our semiconductor products. This reflects a continuation of our strong market positioning.”

Key Stats (on next page)…

Revenue increased 18.94% from $98.03 million in the previous quarter. EPS increased to $0.01 in the quarter versus EPS of $-0.06 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.09 to a profit $0.10. For the current year, the average estimate has moved up from a profit of $0.16 to a profit of $0.17 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)

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