The 10-second takeaway
For the quarter ended March 31 (Q1), Solazyme whiffed on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank significantly. Non-GAAP loss per share grew. GAAP loss per share increased.
Margins dropped across the board.
Solazyme notched revenue of $6.7 million. The 10 analysts polled by S&P Capital IQ predicted revenue of $8.5 million on the same basis. GAAP reported sales were 51% lower than the prior-year quarter's $13.6 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 -$0.35. The six earnings estimates compiled by S&P Capital IQ predicted -$0.39 per share. Non-GAAP EPS were -$0.35 for Q1 against -$0.28 per share for the prior-year quarter. GAAP EPS were -$0.43 for Q1 versus -$0.28 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 78.2%, much worse than the prior-year quarter. Operating margin was -349.7%, much worse than the prior-year quarter. Net margin was -397.1%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $11.1 million. On the bottom line, the average EPS estimate is -$0.36.
Next year's average estimate for revenue is $55.1 million. The average EPS estimate is -$1.32.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 383 members out of 401 rating the stock outperform, and 18 members rating it underperform. Among 78 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 70 give Solazyme a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Solazyme is outperform, with an average price target of $15.32.
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