LeapFrog Enterprises Earnings: Profit Takes A Leap

LeapFrog Enterprises Inc. (NYSE:LF) 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 0.09%.

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LeapFrog Enterprises Inc. Earnings Cheat Sheet

Results: Net income increased 89.88% to $62.3 million (60 cents per diluted share) in the quarter versus a net gain of $32.81 million in the year-earlier quarter.

Revenue: Rose 16.41% to $244.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: LeapFrog Enterprises Inc. reported adjusted net income of 60 cents per share. By that measure, the company beat the mean analyst estimate of $0.49. It beat the average revenue estimate of $224.5 million.

Quoting Management: “The quality of execution from the LeapFrog team was exceptional this past year. Despite a tough global economy and a declining U.S. toy industry, we achieved a third straight year of sales growth and nearly tripled our income from operations, continuing to drive shareholder value,” said John Barbour, Chief Executive Officer.

Key Stats (on next page)…

Revenue increased 26.74% from $193.07 million in the previous quarter. Net income increased 49.26% from $41.74 million 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 loss of $0 and has not changed. For the current year, the average estimate has moved up from a profit of $0.81 to a profit of $0.85 over the last ninety days.

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(Company fundamentals provided by Xignite Financials.)