On Feb. 8, Akamai Technologies
- The Speedera acquisition continues to have an impact. Both sales and EPS beat estimates, and full-year revenue growth guidance was raised from 25% to 27%-30%.
- Accounts receivable outpaced sales for the third straight quarter. This ought to be a warning sign, yet every time Akamai does it, both top- and bottom-line growth accelerate. It's worth keeping an eye on nonetheless.
- Akamai is still acquiring customers hand over fist. The company added 80 new recurring contracts during Q4 and 600 during the year, of which Speedera was responsible for roughly half.
(Figures in thousands, except per-share data)
Income Statement Highlights
|
Avg. Est. |
Q4 2005 |
Q4 2004 |
% Change |
|
|---|---|---|---|---|
|
Sales |
$78,900 |
$82,657 |
$57,576 |
+43.6% |
|
Net Profit |
-- |
$25,759 |
$13,391 |
+92.4% |
|
EPS |
$0.15 |
$0.16 |
$0.10 |
+60.0% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q4 2005 |
Q4 2004 |
Change |
|
|---|---|---|---|
|
Gross Margin |
80.54% |
80.59% |
-0.05% |
|
Op. Margin |
25.48% |
25.30% |
+0.18% |
|
Net Margin |
31.16% |
23.26% |
+7.91% |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q4 2005 |
Q4 2004 |
% Change |
|---|---|---|---|
|
Cash + ST Invest. |
$292,408 |
$70,630 |
+314.0% |
|
Inventory |
-- |
-- |
N/A |
|
Accounts Rec. |
$52,162 |
$30,333 |
+72.0% |
|
Liabilities |
Q4 2005 | Q4 2004 |
% Change |
|---|---|---|---|
|
Long-Term Debt |
$200,000 |
$256,614 |
-22.1% |
|
Accounts Pay. |
$54,471 |
$42,446 |
+28.3% |
Cash Flow Highlights
|
Q4 2005 |
Q4 2004 |
% Change |
|
|---|---|---|---|
|
Cash From Ops. |
$27,673 |
$15,575 |
+77.7% |
|
Capital Expend. |
$8,105 |
$7,138 |
+13.5% |
|
Free Cash Flow |
$19,568 |
$8,437 |
+131.9% |
Find out why Fools always follow the money.
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Related Foolishness:
- Akamai also reported its full-year numbers.
- I originally forecast agony for Akamai. Whoops.
- Hey, Akamai, what's the money for, anyway?
- You know what's really nice about Akamai? It makes wishes come true.
Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean.
Fool contributor Tim Beyers owns shares of Akamai, which is a Motley Fool Rule Breakers pick. You can find out what else is in his portfolio by checking Tim's Fool profile . The Motley Fool has an ironclad disclosure policy .
