Premiere Global Services
The 10-second takeaway
For the quarter ended March 31 (Q1), Premiere Global Services beat expectations on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue improved and GAAP earnings per share increased significantly.
Gross margin contracted, operating margin improved, and net margin expanded.
Premiere Global Services chalked up revenue of $126.6 million. The four analysts polled by S&P Capital IQ foresaw revenue of $122.7 million on the same basis. GAAP reported sales were 8.3% higher than the prior-year quarter's $116.9 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.13. The four earnings estimates compiled by S&P Capital IQ predicted $0.12 per share. GAAP EPS of $0.13 for Q1 were 117% higher than the prior-year quarter's $0.06 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 57.8%, 170 basis points worse than the prior-year quarter. Operating margin was 8.9%, 290 basis points better than the prior-year quarter. Net margin was 4.9%, 240 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $125.2 million. On the bottom line, the average EPS estimate is $0.14.
Next year's average estimate for revenue is $495.6 million. The average EPS estimate is $0.56.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 152 members out of 160 rating the stock outperform, and eight members rating it underperform. Among 22 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 21 give Premiere Global Services 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 Premiere Global Services is buy, with an average price target of $10.81.
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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.