On Thursday, Patterson Companies (NASDAQ:PDCO) released Q1 2007 earnings for the period ended July 29.
- Despite strong sales, net profit declined year over year on slimmer margins across the board.
- On the other hand, free cash flow increased nicely, and now outpaces earnings -- something a Fool always likes to see.
- The company, a dental and veterinary supply distributor, is paying down debt while keeping tight reins on share dilution, another couple of shareholder-friendly things to do.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Avg. Est. |
Q1 2007 |
Q1 2006 |
Change | |
|---|---|---|---|---|
|
Sales |
$653 |
$655 |
$596 |
10% |
|
Net Profit |
-- |
$42 |
$43 |
(3%) |
|
EPS |
$0.32 |
$0.30 |
$0.31 |
(3.2%) |
|
Diluted Shares |
139 |
139 |
0% |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q1 2007 |
Q1 2006 |
Change* | |
|---|---|---|---|
|
Gross Margin |
33.93% |
34.78% |
(0.85) |
|
Operating Margin |
10.46% |
11.67% |
(1.21) |
|
Net Margin |
6.35% |
7.20% |
(0.85) |
*Expressed in percentage points.
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$265 |
$155 |
70.9% |
|
Accounts Rec. |
$328 |
$306 |
7.2% |
|
Inventory |
$262 |
$226 |
16% |
|
Liabilities |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Accounts Payable |
$154 |
$148 |
4.4% |
|
Long-Term Debt |
$205 |
$297 |
(30.9%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
Q1 2007 |
Q1 2006 |
Change | |
|---|---|---|---|
|
Cash From Ops. |
$53 |
$29 |
80.1% |
|
Capital Expenditures |
$7 |
$16 |
(59.1%) |
|
Free Cash Flow |
$46 |
$13 |
256% |
Find out why Fools always follow the money.
Related companies:
- Henry Schein (NASDAQ:HSIC)
- MWI Veterinary Supply (NASDAQ:MWIV)
- IDEXX Laboratories (NASDAQ:IDXX)
- Dentsply International (NASDAQ:XRAY)
- PSS World Medical (NASDAQ:PSSI)
- Owens & Minor (NYSE:OMI)
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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.
At the time of publication, Fool contributor Anders Bylund had positions in none of the companies discussed today. Fool rules are here .
