Stratasys Earnings: Here’s Why Investors Like These Results
Stratasys Inc. (NASDAQ:SSYS) 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 7.94%.
Stratasys Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 40.63% to $0.45 in the quarter versus EPS of $0.32 in the year-earlier quarter.
Revenue: Rose 115.52% to $106.49 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Stratasys Inc. reported adjusted EPS income of $0.45 per share. By that measure, the company beat the mean analyst estimate of $0.44. It beat the average revenue estimate of $105.46 million.
Quoting Management: “We sustained positive momentum in the second quarter as global demand for our products and services remained strong,” said David Reis, chief executive officer of Stratasys. “Our growth in the second quarter accelerated compared to the first quarter, as the benefits of our recent channel integration and cross-selling initiatives have begun to materialize. This occurred while we continued to invest significantly in other merger integration initiatives. In addition, our margins were favorably impacted by the operating synergies produced by the Stratasys-Objet merger, and the strong sales of our higher-margin products and services. We are very pleased with our record second quarter results.”
Key Stats (on next page)…
Revenue increased 9.55% from $97.21 million in the previous quarter. EPS increased 4.65% from $0.43 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 $0.48 and has not changed. For the current year, the average estimate has moved up from a profit of $1.88 to a profit of $1.92 over the last ninety days.