Cascade Microtech's Probing Quarter: Fool by Numbers

On Oct 23, Cascade Microtech (Nasdaq: CSCD  ) , the maker of what it oddly dubs "wafer probing solutions" for testing integrated circuits, released Q3 earnings for the period ended Sept. 30, 2006.

• Revenue increased by 21%, thanks to strong quarters from both the engineering products and production probes divisions.
• Cash and investments at the end of the quarter were $54.9 million, up $3 million from the end of last year.
• Management is predicting fourth-quarter revenue between $21 million and $23 million, and EPS in the range of $0.07 to $0.12.

(Figures in millions, except per-share data)

Income Statement Highlights

	Avg. Est.	Q3 2006	Q3 2005	Change
Sales	$21	$23	$19	20.9%
Net Profit	--	$1	$2	(42.6%)
EPS	$0.09	$0.10	$0.18	(44.4%)
Diluted Shares	--	12	12	0%

Get back to basics with a look at the income statement.

Margin Checkup

	Q3 2006	Q3 2005	Change*
Gross Margin	43.20%	46.70%	(3.50)
Operating Margin	6.37%	11.42%	(5.05)
Net Margin	5.37%	11.31%	(5.94)

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets	Q3 2006	Q3 2005	Change
Cash + ST Invest.	$47	$45	3.3%
Accounts Rec.	$19	$17	10.1%
Inventory	$14	$10	33.1%

Liabilities	Q3 2006	Q3 2005	Change
Accounts Payable	$6	$5	26.2%
Long-Term Debt	$0	$0	N/A

Learn the ways of the balance sheet.

Cash Flow Highlights

No cash flow statement provided. (Boo, hiss!)

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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. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.