SINA Goes Red

SINA (Nasdaq: SINA  ) reported earnings on May 15. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), SINA met expectations on revenues and exceeded expectations on earnings per share.

Compared to the prior-year quarter, revenue improved and GAAP earnings per share dropped to a loss.

Margins shrank across the board.

Revenue details
SINA logged revenue of $106.2 million. The 17 analysts polled by S&P Capital IQ hoped for revenue of $105.5 million on the same basis. GAAP reported sales were 6.0% higher than the prior-year quarter's $100.2 million.

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

EPS details
EPS came in at -$0.21. The 13 earnings estimates compiled by S&P Capital IQ forecast -$0.23 per share. GAAP EPS were -$0.21 for Q1 versus $0.23 per share for the prior-year quarter.

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 46.2%, 700 basis points worse than the prior-year quarter. Operating margin was -17.0%, 2,850 basis points worse than the prior-year quarter. Net margin was -12.9%, 2,790 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $132.6 million. On the bottom line, the average EPS estimate is $0.08.

Next year's average estimate for revenue is $559.9 million. The average EPS estimate is $0.47.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 1,134 members out of 1,240 rating the stock outperform, and 106 members rating it underperform. Among 289 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 264 give SINA a green thumbs-up, and 25 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on SINA is outperform, with an average price target of $87.79.

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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Motley Fool newsletter services have recommended buying shares of SINA. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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