Techne (Nasdaq: TECH) reported earnings on Jan. 31. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Techne missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded, and GAAP earnings per share dropped.
Margins contracted across the board.
Revenue details
Techne tallied revenue of $74.7 million. The five analysts polled by S&P Capital IQ wanted to see sales of $76.5 million. Sales were 10% higher than the prior-year quarter's $67.7 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
EPS details
Non-GAAP EPS came in at $0.73. The three earnings estimates compiled by S&P Capital IQ anticipated $0.79 per share on the same basis. GAAP EPS of $0.70 for Q2 were 1.4% lower than the prior-year quarter's $0.71 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 73.9%, 360 basis points worse than the prior-year quarter. Operating margin was 50.5%, 470 basis points worse than the prior-year quarter. Net margin was 34.6%, 460 basis points worse than the prior-year quarter.
Looking ahead
Next quarter's average estimate for revenue is $85.6 million. On the bottom line, the average EPS estimate is $0.88.
Next year's average estimate for revenue is $322.4 million. The average EPS estimate is $3.30.
Investor sentiment
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 290 members out of 298 rating the stock outperform, and eight members rating it underperform. Among 102 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 101 give Techne a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Techne is outperform, with an average price target of $83.25.
Over the decades, small-cap stocks, like Techne have provided market-beating returns, provided they're value priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add Techne to My Watchlist.
