LSI Earnings: Here’s Why Investors Like These Results

LSI Corporation (NYSE:LSI) 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 2.2%.

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LSI Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 15% to $0.17 in the quarter versus EPS of $0.20 in the year-earlier quarter.

Revenue: Decreased 8.65% to $568.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: LSI Corporation reported adjusted EPS income of $0.17 per share. By that measure, the company beat the mean analyst estimate of $0.12. It beat the average revenue estimate of $555.88 million.

Quoting Management: “LSI achieved strong results and better than expected revenues in the first quarter, despite a challenging environment for PCs and mobile infrastructure investment,” said Abhi Talwalkar, LSI’s president and CEO. “Looking forward, we are very excited about the flash application acceleration market and our Nytro flash adapter solutions continue to gain strong acceptance with customers looking to accelerate Virtual Desktop Infrastructure (VDI), Hadoop and other Big Data applications, as well as with leading cloud based services.”

Key Stats (on next page)…

Revenue decreased 5.25% from $600.13 million in the previous quarter. EPS decreased 5.56% from $0.18 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 $0.13 and has not changed. For the current year, the average estimate is a profit of $0.60, 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)