InterDigital (Nasdaq: IDCC ) reported earnings on Oct. 24. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Sep. 30 (Q3), InterDigital met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew significantly.
Margins increased across the board.
InterDigital booked revenue of $434.0 million. The three analysts polled by S&P Capital IQ foresaw a top line of $435.3 million on the same basis. GAAP reported sales were much higher than the prior-year quarter's $76.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $5.56. The three earnings estimates compiled by S&P Capital IQ predicted $5.44 per share. GAAP EPS of $5.56 for Q3 were much higher than the prior-year quarter's $0.57 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 89.5%, 1,290 basis points better than the prior-year quarter. Operating margin was 83.7%, 4,160 basis points better than the prior-year quarter. Net margin was 54.3%, 2,000 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $61.3 million. On the bottom line, the average EPS estimate is $0.11.
Next year's average estimate for revenue is $640.7 million. The average EPS estimate is $5.91.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,200 members out of 1,248 rating the stock outperform, and 48 members rating it underperform. Among 275 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 262 give InterDigital a green thumbs-up, and 13 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on InterDigital is outperform, with an average price target of $36.40.
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