Changyou.com (Nasdaq: CYOU) reported earnings on Feb. 4. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Changyou.com beat expectations on revenues and beat expectations on earnings per share.

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

Margins contracted across the board.

Revenue details
Changyou.com logged revenue of $173.5 million. The nine analysts polled by S&P Capital IQ looked for sales of $168.7 million on the same basis. GAAP reported sales were 6.2% higher than the prior-year quarter's $163.4 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 $1.42. The seven earnings estimates compiled by S&P Capital IQ forecast $1.33 per share. GAAP EPS of $1.41 for Q4 were 12% lower than the prior-year quarter's $1.60 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 83.5%, 190 basis points worse than the prior-year quarter. Operating margin was 54.2%, 860 basis points worse than the prior-year quarter. Net margin was 43.3%, 910 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $166.9 million. On the bottom line, the average EPS estimate is $1.38.

Next year's average estimate for revenue is $712.5 million. The average EPS estimate is $5.84.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 185 members out of 215 rating the stock outperform, and 30 members rating it underperform. Among 33 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 27 give Changyou.com a green thumbs-up, and six give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Changyou.com is outperform, with an average price target of $34.15.

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