Ingram Micro Inc. (NYSE:IM) 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.
Ingram Micro Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 41.03% to $0.55 in the quarter versus EPS of $0.39 in the year-earlier quarter.
Revenue: Rose 17.43% to $10.31 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Ingram Micro Inc. reported adjusted EPS income of $0.55 per share. By that measure, the company beat the mean analyst estimate of $0.46. It missed the average revenue estimate of $10.44 billion.
Quoting Management: “I am pleased with our performance in the second quarter, as we executed well against our key objectives for the year, resulting in significant improvements across several important financial metrics,” said Alain Monie, Ingram Micro president and CEO. “We continued to improve in Australia, benefited from accretion to adjusted earnings per diluted share of 10 cents from our new mobility business and saw gross margins expand, due in part to the investments we have made in areas such as advanced solutions, mobility, logistics services and cloud. We also strengthened our balance sheet as we drove strong cash flow from operations. We are managing our growth well and we believe continued execution on our strategic initiatives to increase the ratio of our higher-margin, and better-returns businesses will result in above market growth rates, while also improving profitability and generating better shareholder returns.”
Key Stats (on next page)…
Revenue increased 0.44% from $10.26 billion in the previous quarter. EPS increased 34.15% from $0.41 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 $0.51 and has not changed. For the current year, the average estimate is a profit of $2.17, 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)