On Dec. 19, PDA and smartphone maker Palm
- Revenues dropped nearly 12% despite record smartphone sales.
- The drop in net profits and net margin reflects "a partial reversal of a deferred tax-asset valuation allowance of $226.3 million."
- Management expects revenue for the next quarter to be $400 million to $410 million. EPS is projected to be $0.08 to $0.10 on a GAAP basis.
- Our Motley Fool CAPS community is somewhat unenthusiastic about the stock, assigning it a two-star rating.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q2 2007 |
Q2 2006 |
Change |
|
|---|---|---|---|
|
Sales |
$392.9 |
$444.6 |
(11.6%) |
|
Net Profit |
$12.8 |
$260.9 |
(95.1%) |
|
EPS |
$0.12 |
$2.51 |
(95.2%) |
|
Diluted Shares |
104.1 |
104.1 |
(0%) |
Get back to basics with a look at the income statement.
Margin Checkup
|
Q2 2007 |
Q2 2006 |
Change* |
|
|---|---|---|---|
|
Gross Margin |
35.4% |
30.6% |
4.8 |
|
Operating Margin |
4.3% |
7.8% |
(3.5) |
|
Net Margin |
3.3% |
58.7% |
(55.4) |
*Expressed in percentage points
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
|
Assets |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$518.4 |
$436.9 |
18.7% |
|
Accounts Rec. |
$247.4 |
$203.5 |
21.6% |
|
Inventory |
$38.9 |
$31.0 |
25.4% |
|
Q2 2007 |
Q2 2006 |
Change |
|
|---|---|---|---|
|
Accounts Payable |
$192.3 |
$168.9 |
13.9% |
|
Long-Term Debt |
$0.0 |
$35.0 |
(100%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
|
Q2 2007 |
Q2 2006 |
Change |
|
|---|---|---|---|
|
Cash From Ops. |
$22.2 |
$26.6 |
(16.4%) |
|
Capital Expenditures |
$8.3 |
$4.8 |
73.7% |
|
Free Cash Flow |
$13.9 |
$21.8 |
(36.3%) |
Find out why Fools always follow the money.
Related Companies:
-
Dell
(NASDAQ:DELL) -
Hewlett-Packard
(NYSE:HPQ) -
Nokia
(NYSE:NOK)
Related Foolishness:
Dell is recommended in both Stock Advisor and Inside Value. Palm is aStock Advisorrecommendation. What other stocks are at the top of Tom and David Gardner's list? Be our guest at the Stock Advisor website for 30 days and find out.
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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.
