On May 8, wireless technology developer and Motley Fool Stock Advisor recommendation InterDigital Communications (NASDAQ:IDCC) released first-quarter earnings for the period ended Mar. 31.
- Fool Dave Mock explains why it was a fine quarter for InterDigital.
- Free cash flow rose by 18.5% to $93.3 million, largely because of the receipt of a $95 million payment from LG Electronics related to its patent license agreement.
- The stock is tops in our Motley Fool CAPS community. Investors there collectively give it a five-star rating.
(Figures in thousands, except per-share data.)
Income Statement Highlights
|
Q1 2007 |
Q1 2006 |
Change | |
|---|---|---|---|
|
Sales |
$67,818.0 |
$51,606.0 |
31.4% |
|
Net Profit |
$17,669.0 |
$12,939.0 |
36.6% |
|
EPS |
$0.34 |
$0.23 |
47.8% |
|
Diluted Shares |
51,880.0 |
56,884.0 |
(8.8%) |
Get back to basics with the income statement.
Margin Checkup
|
Q1 2007 |
Q1 2006 |
Change* | |
|---|---|---|---|
|
Operating Margin |
35.7% |
36.4% |
(0.7) |
|
Net Margin |
26.1% |
25.1% |
1.0 |
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$212,819.0 |
$197,039.0 |
8.0% |
|
Accounts Rec. |
$110,994.0 |
$113,404.0 |
(2.1%) |
|
Liabilities |
Q1 2007 |
Q1 2006 |
Change |
|---|---|---|---|
|
Accounts Payable* |
$41,548.0 |
$13,041.0 |
218.6% |
|
Long-Term Debt** |
$12,957.0 |
$1,481.0 |
774.9% |
**2007 data includes long-term liabilities.
The balance sheet reflects the company's health.
Cash Flow Highlights
|
Q1 2007 |
Q1 2006 |
Change | |
|---|---|---|---|
|
Cash From Ops. |
$105,594.0 |
$86,546.0 |
22.0% |
|
Capital Expenditures |
$12,278.0 |
$7,778.0 |
57.9% |
|
Free Cash Flow |
$93,316.0 |
$78,768.0 |
18.5% |
Free cash flow is a Fool's best friend.
Related Foolishness:
- InterDigital: Pay Me Now, Pay Me Later
- Foolish Forecast: InterDigital Invests in the Future
- InterDigital to Samsung: Pay Up
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.
