The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Diebold met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share grew.
Margins improved across the board.
Diebold reported revenue of $850.0 million. The six analysts polled by S&P Capital IQ looked for a top line of $841.9 million on the same basis. GAAP reported sales were 7.5% higher than the prior-year quarter's $791.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $1.40. The eight earnings estimates compiled by S&P Capital IQ averaged $0.84 per share on the same basis. GAAP EPS were $1.26 for Q4 against -$1.82 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 26.2%, 210 basis points better than the prior-year quarter. Operating margin was 7.9%, 60 basis points better than the prior-year quarter. Net margin was 9.4%, 2,460 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $627.0 million. On the bottom line, the average EPS estimate is $0.29.
Next year's average estimate for revenue is $2.89 billion. The average EPS estimate is $2.27.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 153 members out of 187 rating the stock outperform, and 34 members rating it underperform. Among 50 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 46 give Diebold 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 Diebold is outperform, with an average price target of $34.20.
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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.