The 10-second takeaway
For the quarter ended March 30 (Q1), Exponent beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share didn't change.
Margins dropped across the board.
Exponent reported revenue of $66.5 million. The four analysts polled by S&P Capital IQ expected revenue of $65.8 million on the same basis. GAAP reported sales were 3.6% higher than the prior-year quarter's $64.2 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 $0.57. The four earnings estimates compiled by S&P Capital IQ predicted $0.52 per share. GAAP EPS of $0.57 were the same as 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 30.5%, 300 basis points worse than the prior-year quarter. Operating margin was 17.8%, 150 basis points worse than the prior-year quarter. Net margin was 12.3%, 20 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $64.9 million. On the bottom line, the average EPS estimate is $0.61.
Next year's average estimate for revenue is $267.9 million. The average EPS estimate is $2.35.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 226 members out of 231 rating the stock outperform, and five members rating it underperform. Among 63 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 63 give Exponent a green thumbs-up, and none give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Exponent is outperform, with an average price target of $51.50.
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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.