Monotype Imaging Holdings Earnings: Here’s Why Shares are Down Now

Monotype Imaging Holdings Inc. (NASDAQ:TYPE) delivered a profit and met 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 0.47%.

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Monotype Imaging Holdings Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 30.43% to $0.30 in the quarter versus EPS of $0.23 in the year-earlier quarter.

Revenue: Rose 22.27% to $42 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Monotype Imaging Holdings Inc. reported adjusted EPS income of $0.30 per share. By that measure, the company met the mean analyst estimate of $0.30. It beat the average revenue estimate of $41.92 million.

Quoting Management: “Monotype had a strong first quarter, thanks to continued demand for our type solutions that deliver high-quality experiences in today’s multi-screen world,” said Doug Shaw, president and chief executive officer. “Record results in both our Creative Professional and OEM businesses were driven by strong e-commerce revenue, continued momentum in our Web font business, and robust sales of consumer electronics devices. Moving forward, we remain focused on providing customers with significant value in all phases of content creation, distribution and consumption.”

Key Stats (on next page)…

Revenue increased 7.61% from $39.03 million in the previous quarter. EPS increased 7.14% from $0.28 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 $0.28 and has not changed. For the current year, the average estimate has moved up from a profit of $1.15 to a profit of $1.17 over the last ninety days.

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