OSI Systems (Nasdaq: OSIS) reported earnings on Jan. 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 31 (Q2), OSI Systems beat slightly on revenues and earnings per share.

Compared to the prior-year quarter, revenue improved and earnings per share increased significantly.

Gross margins contracted, operating margins grew, and net margins expanded.

Revenue details
OSI Systems reported revenue of $188 million. The four analysts polled by S&P Capital IQ hoped for sales of $185 million. Sales were 11% higher than the prior-year quarter's $169 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.

EPS details
EPS came in at $0.61. The four earnings estimates compiled by S&P Capital IQ predicted $0.60 per share. GAAP EPS of $0.61 for Q2 were 30% higher than the prior-year quarter's $0.47 per share.

Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 35.0%, 50 basis points worse than the prior-year quarter. Operating margin was 9.7%, 130 basis points better than the prior-year quarter. Net margin was 6.5%, 110 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $193 million. On the bottom line, the average EPS estimate is $0.65.

Next year's average estimate for revenue is $749 million. The average EPS estimate is $2.32.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 156 members out of 172 rating the stock outperform, and 16 members rating it underperform. Among 57 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 51 give OSI Systems a green thumbs-up, and six give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on OSI Systems is buy, with an average price target of $52.25.

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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. 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.