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ClickSoftware Technologies Beats Analyst Estimates on EPS

ClickSoftware Technologies (Nasdaq: CKSW  ) reported earnings on Feb. 4. Here are the numbers you need to know.

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

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

Gross margins increased, operating margins contracted, net margins expanded.

Revenue details
ClickSoftware Technologies reported revenue of $28.4 million. The five analysts polled by S&P Capital IQ predicted revenue of $28.8 million on the same basis. GAAP reported sales were 19% higher than the prior-year quarter's $24.0 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 $0.13. The four earnings estimates compiled by S&P Capital IQ anticipated $0.12 per share. GAAP EPS of $0.12 for Q4 were 33% higher than the prior-year quarter's $0.09 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 65.2%, 270 basis points better than the prior-year quarter. Operating margin was 12.6%, 490 basis points worse than the prior-year quarter. Net margin was 13.8%, 180 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $26.5 million. On the bottom line, the average EPS estimate is $0.06.

Next year's average estimate for revenue is $118.9 million. The average EPS estimate is $0.35.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 610 members out of 619 rating the stock outperform, and nine members rating it underperform. Among 116 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 115 give ClickSoftware Technologies a green thumbs-up, and one give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on ClickSoftware Technologies is outperform, with an average price target of $9.88.

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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. The Motley Fool recommends Click Software Technologies. 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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  • Report this Comment On February 06, 2013, at 10:48 PM, energeticfool2 wrote:

    I own the stock, and will likely hold onto it a while longer yet. However, if Dr. Moshe BenBassat (Chairman and CEO) does not show more loyalty to shareholders by improving profit margins, then I'm O U T. If he does not take action soon, his current business strategy will soon begin to appear to be focused on being a social welfare company...hiring more employees that do not add any profitability.

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