Trimble Navigation Limited Earnings: Here’s Why the Stock is Down Now

Trimble Navigation Limited (NASDAQ:TRMB) 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 0.29%.

Trimble Navigation Limited Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 5.56% to $0.38 in the quarter versus EPS of $0.36 in the year-earlier quarter.

Revenue: Rose 11.35% to $576.3 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Trimble Navigation Limited reported adjusted EPS income of $0.38 per share. By that measure, the company beat the mean analyst estimate of $0.37. It beat the average revenue estimate of $574.19 million.

Quoting Management: “We met expectations in the second quarter in spite of problematic conditions in some of our markets. Despite those challenges the Engineering & Construction, Mobile Solutions, and Advanced Devices segments all demonstrated year-to-year revenue and margin growth,” said Steven W. Berglund, Trimble’s president and chief executive officer. “The most significant issue for us was in the Field Solutions segment which declined year-to-year, primarily as a result of lower GIS revenues which were impacted by cutbacks in government funding. Agriculture sales declined slightly due to market conditions in the U.S., which were partially offset by strong growth in the rest of the world. We anticipate some of these market conditions to continue for the rest of the year; we nonetheless continue to expect double digit revenue growth for the second half.”

Key Stats (on next page)…

Revenue increased 3.63% from $556.11 million in the previous quarter. EPS decreased 0% from $0.38 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 $0.39 to a profit $0.38. For the current year, the average estimate is a profit of $1.49, 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)

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