Volcano Earnings: Everything You Must Know Now

Volcano Corporation (NASDAQ:VOLC) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

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Volcano Corporation Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 100% to $0.02 in the quarter versus EPS of $0.01 in the year-earlier quarter.

Revenue: Rose 3.14% to $93.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Volcano Corporation reported adjusted EPS income of $0.02 per share. By that measure, the company beat the mean analyst estimate of $0. It missed the average revenue estimate of $96.2 million.

Quoting Management: “Our results for the quarter reflect continued solid growth for our FFR (Fractional Flow Reserve) disposable revenues, which increased 33 percent and 36 percent year-over-year on a reported and constant currency basis, respectively. However, our intravascular imaging business continued to be impacted negatively by pressure on PCI’s, especially in the U.S.,” said Scott Huenekkens, president and chief executive officer of Volcano.

Key Stats (on next page)…

Revenue decreased 9.06% from $102.48 million in the previous quarter. EPS decreased 71.43% from $0.07 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 $0.06 to a profit $0.02. For the current year, the average estimate has moved down from a profit of $0.30 to a profit of $0.08 over the last ninety days.

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