The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Volterra Semiconductor beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved, and earnings per share expanded significantly.
Gross margins dropped, operating margins expanded, net margins grew.
Volterra Semiconductor recorded revenue of $39 million. The 14 analysts polled by S&P Capital IQ hoped for sales of $38 million. Sales were 9.1% higher than the prior-year quarter's $36 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.30. The 13 earnings estimates compiled by S&P Capital IQ predicted $0.25 per share on the same basis. GAAP EPS of $0.22 for Q4 were 70% higher than the prior-year quarter's $0.13 per share.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 58.3%, 160 basis points worse than the prior-year quarter. Operating margin was 16.2%, 200 basis points better than the prior-year quarter. Net margin was 14.7%, 510 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $40 million. On the bottom line, the average EPS estimate is $0.27.
Next year's average estimate for revenue is $182 million. The average EPS estimate is $1.41.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 99 members out of 115 rating the stock outperform, and 16 members rating it underperform. Among 36 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 32 give Volterra Semiconductor a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Volterra Semiconductor is outperform, with an average price target of $28.27.
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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.