Dolby Laboratories (NYSE: DLB) reported earnings on Jan. 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Dec. 30 (Q1), Dolby Laboratories met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped, and GAAP earnings per share dropped.

Gross margins expanded, operating margins shrank, net margins dropped.

Revenue details
Dolby Laboratories booked revenue of $233.4 million. The 10 analysts polled by S&P Capital IQ expected to see sales of $235.2 million. Sales were 3.8% lower than the prior-year quarter's $242.7 million.

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

EPS details
Non-GAAP EPS came in at $0.76. The seven earnings estimates compiled by S&P Capital IQ predicted $0.69 per share on the same basis. GAAP EPS of $0.67 for Q1 were 12% lower than the prior-year quarter's $0.76 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 91.3%, 330 basis points better than the prior-year quarter. Operating margin was 43.6%, 170 basis points worse than the prior-year quarter. Net margin was 31.3%, 430 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $255.1 million. On the bottom line, the average EPS estimate is $0.81.

Next year's average estimate for revenue is $946.6 million. The average EPS estimate is $2.85.

Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 4,007 members out of 4,104 rating the stock outperform, and 97 members rating it underperform. Among 1,298 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 1,281 give Dolby Laboratories a green thumbs-up, and 17 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Dolby Laboratories is hold, with an average price target of $35.38.