The ABCs of CA: Fool by Numbers
On May 23, IT management software maker CA (NYSE: CA) released fourth-quarter earnings for the period ended March 31.
- Revenue was up 7%, but earnings and cash from operations were down.
- Fiscal 2008 guidance of $4.05 billion to $4.10 billion in sales and $0.75-$0.79 in EPS seemed a bit light, according to most pundits. That's probably why the stock is down 6.5% in afternoon trading.
- The stock carries the lowest possible rating in Motley Fool CAPS -- one lonely star.
(Figures in millions, except per-share data.)
Income Statement Highlights
|
Q4 2007
|
Q4 2006
|
Change
|
|
Sales
|
$1,005
|
$942
|
6.7%
|
|
Net Profit*
|
($20)
|
($39)
|
N/A
|
|
EPS
|
($0.04)
|
($0.07)
|
N/A
|
|
Diluted Shares
|
525
|
575
|
(8.7%)
|
*Income from continuing operations.
Get back to basics with the income statement.
Margin Checkup
|
Q4 2007
|
Q4 2006
|
Change*
|
|
Gross Margin
|
90.3%
|
92%
|
(1.8)
|
|
Operating Margin
|
(1.2%)
|
(4.9%)
|
3.7
|
|
Net Margin
|
(2%)
|
(4.1%)
|
2.2
|
*Expressed in percentage points.
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets
|
Q4 2007
|
Q4 2006
|
Change
|
|
Cash + ST Invest.
|
$2,280
|
$1,865
|
22.3%
|
|
Accounts Rec.
|
$390
|
$552
|
(29.3%)
|
|
Liabilities
|
Q4 2007
|
Q4 2006
|
Change
|
|
Long-Term Debt
|
$2,572
|
$1,813
|
41.9%
|
The balance sheet reflects the company's health.
Cash Flow Highlights
|
Q4 2007
|
Q4 2006
|
Change
|
|
Cash From Ops.
|
$521
|
$566
|
(8%)
|
|
Capital Expenditures*
|
$71
|
$331
|
(78.5%)
|
|
Free Cash Flow
|
$450
|
$235
|
91.5%
|
*Includes acquisitions made during the year.
Free cash flow is a Fool's best friend.
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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. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.
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