Corporate Executive Board
The 10-second takeaway
For the quarter ended June 30 (Q2), Corporate Executive Board beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share increased significantly.
Margins improved across the board.
Corporate Executive Board recorded revenue of $135.7 million. The six analysts polled by S&P Capital IQ foresaw revenue of $131.9 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $117.5 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 $0.48. The seven earnings estimates compiled by S&P Capital IQ anticipated $0.36 per share. GAAP EPS of $0.44 for Q2 were 52% higher than the prior-year quarter's $0.29 per share. (The prior-year quarter included -$0.02 per share in earnings from discontinued operations.)
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 65.1%, 180 basis points better than the prior-year quarter. Operating margin was 20.5%, 460 basis points better than the prior-year quarter. Net margin was 10.9%, 210 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $156.7 million. On the bottom line, the average EPS estimate is $0.50.
Next year's average estimate for revenue is $577.7 million. The average EPS estimate is $2.05.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Corporate Executive Board is outperform, with an average price target of $42.71.
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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 has no positions in the stocks mentioned above. Motley Fool newsletter services recommend Corporate Executive Board. 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.