NetQin Mobile Earnings: Here’s Why Investors are Happy Now

NetQin Mobile Inc (NYSE:NQ) 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 3.46%.

NetQin Mobile Inc Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 85.71% to $0.26 in the quarter versus EPS of $0.14 in the year-earlier quarter.

Revenue: Rose 107.41% to $41.4 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: NetQin Mobile Inc reported adjusted EPS income of $0.26 per share. By that measure, the company beat the mean analyst estimate of $0.2. It beat the average revenue estimate of $39.34 million.

Quoting Management: “I am pleased to report that we again achieved record revenues in the second quarter of 2013,” commented Dr. Henry Lin, Chairman and Co-Chief Executive Officer of NQ Mobile. “We are excited about the progress of our expanded monetization efforts across our platform. As a leading mobile Internet platform, we will continue to grow our user base around the world and broaden our monetization capabilities. We are now not only generating security subscription revenues but significant gaming and advertising revenues as well. This is only the beginning of our exciting journey forward.”

Key Stats (on next page)…

Revenue increased 24.55% from $33.24 million in the previous quarter. EPS increased 36.84% from $0.19 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 $0.25 to a profit $0.24. For the current year, the average estimate has moved down from a profit of $0.95 to a profit of $0.94 over the last ninety days.

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