On Sept. 20, Motley Fool Stock Advisor selection Palm
- Street estimates didn't account for stock-based compensation or amortization of intangibles. Excluding those charges, which totaled a little more than $7 million, Palm earned $0.21 per stub, easily beating analyst projections.
- Sales, too, came in higher than expected at $355.8 million.
- Guidance, however, was not as promising. For Q2, management expects sales to improve to between $430 million and $450 million, resulting in $0.20 to $0.23 per stub in net income after accounting non-cash expenses. Analysts had projected $0.28 a share in earnings on $472 million in revenue.
(Figures in thousands, except per-share data)
Income Statement Highlights
|
Avg. Est. |
Q1 2007 |
Q1 2006 |
Change |
|
|---|---|---|---|---|
|
Sales |
$354,380 |
$355,773 |
$342,200 |
4.0% |
|
Net Profit |
-- |
$16,503 |
$18,177 |
(9.2%) |
|
EPS |
$0.18 |
$0.16 |
$0.18 |
(11.1%) |
|
Diluted Shares |
104,590 |
103,613 |
0.9% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q1 2007 |
Q1 2006 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
36.90% |
30.49% |
6.41 |
|
Operating Margin |
6.58% |
5.35% |
1.23 |
|
Net Margin |
4.64% |
5.31% |
(0.67) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets | Q1 2007 | Q1 2006 | Change |
|---|---|---|---|
Cash + ST Invest. | $527,869 | $411,342 | 28.3% |
Accounts Rec. | $168,130 | $128,491 | 30.8% |
Inventory | $51,875 | $140,162 | (63.0%) |
Liabilities | Q1 2007 | Q1 2006 | Change |
|---|---|---|---|
Accounts Payable | $147,327 | $135,720 | 8.6% |
Long-Term Debt | $35,000 | $35,000 | 0.0% |
Learn the ways of the balance sheet.
Cash Flow Checkup
Q1 2007 | Q1 2006 | Change | |
|---|---|---|---|
Cash From Ops. | $20,863 | $48,874 | (57.3%) |
Capital Expenditures | $5,936 | $6,906 | (14.0%) |
Free Cash Flow | $14,927 | $41,968 | (64.4%) |
Find out why Fools always follow the money.
Related Companies:
- Microsoft
(NASDAQ:MSFT) - Motorola
(NYSE:MOT) - Nokia
(NYSE:NOK) - Research In Motion
(NASDAQ:RIMM)
Related Foolishness:
- Check in with last quarter's numbers and analysis, as well as a closer look at this quarter.
- How did our Foolish forecast look?
- Beware, Fool; Palm is reinvading Europe.
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 checkFool.comfor more of our in-depth discussion of what the numbers mean.
Palm is a Motley Fool Stock Advisor recommendation. Ask for an all-access pass to the service, and you'll get 30 days to find out how David and Tom Gardner are walloping the market by more than 39 percentage points.
Microsoft is a Motley Fool Inside Value pick.
Fool contributor Tim Beyers owns shares of Nokia. You can find out which stocks he owns by checking Tim's Fool profile. The Motley Fool's disclosure policy is a bird in the hand.
