Kulicke & Soffa Industries
The 10-second takeaway
For the quarter ended Dec. 31 (Q1), Kulicke & Soffa Industries beat expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Kulicke & Soffa Industries reported revenue of $120.0 million. The three analysts polled by S&P Capital IQ anticipated sales of $116.2 million. Sales were 19% lower than the prior-year quarter's $148.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at $0.11. The two earnings estimates compiled by S&P Capital IQ averaged $0.18 per share on the same basis. GAAP EPS of $0.11 for Q1 were 48% lower than the prior-year quarter's $0.21 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 46.1%, 230 basis points worse than the prior-year quarter. Operating margin was 11.3%, 450 basis points worse than the prior-year quarter. Net margin was 7.1%, 300 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $138.1 million. On the bottom line, the average EPS estimate is $0.34.
Next year's average estimate for revenue is $673.4 million. The average EPS estimate is $1.47.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 301 members out of 315 rating the stock outperform, and 14 members rating it underperform. Among 72 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 71 give Kulicke & Soffa Industries a green thumbs-up, and one gives it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Kulicke & Soffa Industries is outperform, with an average price target of $13.50.
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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. The Motley Fool owns shares of Kulicke & Soffa Industries. 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.