VASCO Data Security International Earnings: Here’s Why Investors are Excited Now

VASCO Data Security International Inc. (NASDAQ:VDSI) 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 0.72%.

Markets are at 5-year highs! Discover the best stocks to own. Click here for our fresh Feature Stock Pick now!

VASCO Data Security International Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 20% to $0.06 in the quarter versus EPS of $0.05 in the year-earlier quarter.

Revenue: Rose 9.73% to $35.4 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: VASCO Data Security International Inc. reported adjusted EPS income of $0.06 per share. By that measure, the company beat the mean analyst estimate of $0.05. It beat the average revenue estimate of $34.8 million.

Quoting Management: “The results for the first quarter of 2013 were in line with our expectations,” stated T. Kendall Hunt, Chairman & CEO. “Similarly, the prospects for the business continue to be in line with the guidance we gave for the full year in February. During the first quarter, we continued to focus on the enhancement of our MYDIGIPASS.COM platform. We were pleased with the improvements included in our March release of the platform and have identified and added substantial additional improvements to our product roadmap. We have also made good progress in the first quarter in hiring sales staff that will focus on developing relationships with application service providers over the coming months.”

Key Stats (on next page)…

Revenue decreased 8.86% from $38.84 million in the previous quarter. EPS increased 20% from $0.05 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.11 to a profit $0.12. For the current year, the average estimate has moved up from a profit of $0.36 to a profit of $0.39 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

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