The 10-second takeaway
For the quarter ended June 30 (Q4), KLA-Tencor beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted significantly. Non-GAAP earnings per share contracted significantly. GAAP earnings per share contracted significantly.
Margins dropped across the board.
KLA-Tencor notched revenue of $720.0 million. The 13 analysts polled by S&P Capital IQ expected to see revenue of $704.8 million on the same basis. GAAP reported sales were 19% lower than the prior-year quarter's $892.5 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 $0.82. The 13 earnings estimates compiled by S&P Capital IQ averaged $0.79 per share. Non-GAAP EPS of $0.82 for Q4 were 45% lower than the prior-year quarter's $1.49 per share. GAAP EPS of $0.80 for Q4 were 45% lower than the prior-year quarter's $1.45 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 57.4%, 230 basis points worse than the prior-year quarter. Operating margin was 26.1%, much worse than the prior-year quarter. Net margin was 18.7%, 910 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $654.8 million. On the bottom line, the average EPS estimate is $0.64.
Next year's average estimate for revenue is $3.03 billion. The average EPS estimate is $3.93.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 248 members out of 279 rating the stock outperform, and 31 members rating it underperform. Among 88 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 82 give KLA-Tencor 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 KLA-Tencor is outperform, with an average price target of $59.35.
Can your portfolio provide you with enough income to last through retirement? You'll need more than KLA-Tencor. Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks." Click here for instant access to this free report.
- Add KLA-Tencor to My Watchlist.