Exar Corp. (NASDAQ:EXAR) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
Exar Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased to $0.10 in the quarter versus EPS of $-0.10 in the year-earlier quarter.
Revenue: Rose 12.27% to $31.2 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Exar Corp. reported adjusted EPS income of $0.10 per share. By that measure, the company beat the mean analyst estimate of $0.09. It missed the average revenue estimate of $31.62 million.
Quoting Management: Exar President and CEO Louis DiNardo commented, “We continue to execute well in a difficult end market environment. We maintained focus on high-value requirements for our differentiated products. The improved product mix and continuing effort to reduce manufacturing cost both contributed to an excellent increase in gross margin and profitability. Fourth quarter non-GAAP operating income represented 14% of revenue and non-GAAP net income was over 15% of revenue.”
Key Stats (on next page)…
Revenue increased 0.65% from $31 million in the previous quarter. EPS increased 11.11% from $0.09 in the previous quarter.
Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.10 and has not changed. For the current year, the average estimate is a profit of $0.27, which is the same with that ninety days ago.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)