Nuance Communications (Nasdaq: NUAN) reported earnings on Feb. 9. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Nuance Communications missed estimates on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew.

Margins improved across the board.

Revenue details
Nuance Communications booked revenue of $382.0 million. The 19 analysts polled by S&P Capital IQ looked for sales of $392.5 million on the same basis. GAAP reported sales were 19% higher than the prior-year quarter's $303.8 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Non-GAAP EPS came in at $0.34. The 18 earnings estimates compiled by S&P Capital IQ predicted $0.36 per share on the same basis. GAAP EPS of $0.03 for Q1 were higher than the prior-year quarter's $0 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 66.7%, 80 basis points better than the prior-year quarter. Operating margin was 8.0%, 360 basis points better than the prior-year quarter. Net margin was 2.6%, 260 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $405.3 million. On the bottom line, the average EPS estimate is $0.38.

Next year's average estimate for revenue is $1.68 billion. The average EPS estimate is $1.59.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 5,462 members out of 5,702 rating the stock outperform, and 240 members rating it underperform. Among 1,591 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,553 give Nuance Communications a green thumbs-up, and 38 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Nuance Communications is buy, with an average price target of $27.16.

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