Kulicke & Soffa Industries Earnings: Here’s Why Investors are Excited Now

Kulicke & Soffa Industries Inc. (NASDAQ:KLIC) 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 up 3.95%.

Kulicke & Soffa Industries Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 72.22% to $0.25 in the quarter versus EPS of $0.90 in the year-earlier quarter.

Revenue: Decreased 44.74% to $141.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Kulicke & Soffa Industries Inc. reported adjusted EPS income of $0.25 per share. By that measure, the company beat the mean analyst estimate of $0.14. It beat the average revenue estimate of $127.5 million.

Quoting Management: Bruno Guilmart, Kulicke & Soffa’s President and Chief Executive Officer, said, “Revenue for the third fiscal quarter exceeded the high end of our guidance range. This sequential growth reflects a higher proportion of sales to our top 5 customers, along with a broader recovery of the sector. We are encouraged by our ability to maintain our cost structure while also maintaining our gross margins at 46.7%, above our trailing 3 year average of 46.0%. This reflects our brand premium and technology leadership in the market place, and also our highly responsive, scalable operating model.”

Key Stats (on next page)…

Revenue increased 33.07% from $106.11 million in the previous quarter. EPS increased 150% from $0.10 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.49 to a profit $0.43. For the current year, the average estimate has moved down from a profit of $0.77 to a profit of $0.72 over the last ninety days.

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