The 10-second takeaway
For the quarter ended Dec. 31 (Q3), Panasonic met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved slightly and GAAP earnings per share dropped to a loss.
Margins contracted across the board.
Panasonic reported revenue of $26.92 billion. The six analysts polled by S&P Capital IQ looked for revenue of $27.11 billion. Sales were 9.6% lower than the prior-year quarter's $26.41 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions.
Non-GAAP EPS came in at -$0.59. The one earnings estimate compiled by S&P Capital IQ anticipated $0.12 per share on the same basis. GAAP EPS were -$1.11 for Q2 versus $0.24 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Figures may be non-GAAP to maintain comparability with estimates.
For the quarter, gross margin was 24.1%, 190 basis points worse than the prior-year quarter. Operating margin was -0.4%, 460 basis points worse than the prior-year quarter. Net margin was -10.1%, 1,180 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $27.06 billion. On the bottom line, the average EPS estimate is -$0.68.
Next year's average estimate for revenue is $106.93 billion. The average EPS estimate is -$2.62.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 237 members out of 262 rating the stock outperform, and 25 members rating it underperform. Among 57 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 53 give Panasonic 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 Panasonic is hold, with an average price target of $11.96.
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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.