On June 29, 2006, Motley Fool Stock Advisor selection Palm
- Sales and per-share earnings easily beat Street estimates, but that wasn't enough to please investors. Palm shares are trading roughly 11% lower today.
- Blame guidance. Management said it expects $380 million to $385 million in first-quarter sales and $0.18 to $0.19 in per-share earnings. Analysts, however, were projecting an average of $0.22 a stub on $413.4 million in revenue. Ouch.
(Figures in thousands, except per-share data)
Income Statement Highlights
|
Avg. Est. |
Q4 2006 |
Q4 2005 |
% Change |
|
|---|---|---|---|---|
|
Sales |
$401,800 |
$403,136 |
$335,820 |
20 |
|
Net Profit* |
-- |
$30,619 |
$19,216 |
59.3 |
|
EPS* |
$0.23 |
$0.29 |
$0.19 |
52.6 |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2006 |
Q4 2005 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
37.17% |
30.21% |
6.96 |
|
Op. Margin |
5.81% |
5.64% |
0.17 |
|
Net Margin |
6.74% |
5.28% |
1.46 |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2006 |
Q4 2005 |
% Change |
|---|---|---|---|
|
Cash + ST Invest. |
$518,894 |
$362,699 |
43.1 |
|
Inventory |
$58,010 |
$35,544 |
63.2 |
|
Accounts Rec. |
$204,337 |
$140,162 |
45.8 |
|
Liabilities |
Q4 2006 |
Q4 2005 |
% Change |
|---|---|---|---|
|
Total Debt |
$35,000 |
$35,000 |
0 |
|
Accounts Pay. |
$184,501 |
$135,720 |
35.9 |
Learn the ways of the balance sheet.
Cash Flow Checkup
|
Q4 2006 |
Q4 2005 |
% Change |
|
|---|---|---|---|
|
Cash From Ops |
($28,809) |
$36,492 |
N/A |
|
Capital Expend. |
$3,258 |
$5,967 |
(45.4) |
|
Free Cash Flow |
($32,067) |
$30,525 |
N/A |
Find out why Fools always follow the money.
Related Companies:
-
Intel
(NASDAQ:INTC) -
Marvell Technology
(NASDAQ:MRVL) -
Microsoft
(NASDAQ:MSFT) -
Motorola
(NYSE:MOT) -
Nokia
(NYSE:NOK) -
Research In Motion
(NASDAQ:RIMM)
Related Foolishness:
- It's been thumbs-down for Palm so far this year.
- Do you think the Treo could stiff-arm an iPhone?
- Should Palm be in another's hands?
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.
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Fool contributor Tim Beyers owns shares of Nokia. You can find out what else is in his portfolio by checking Tim's Fool profile. The Motley Fool has an ironclad disclosure policy.
