Spansion (NYSE: CODE) reported earnings on April 26. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 25 (Q1), Spansion met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue contracted significantly and GAAP loss per share dropped.

Gross margins increased, operating margins contracted, and net margins shrank.

Revenue details
Spansion tallied revenue of $218.8 million. The five analysts polled by S&P Capital IQ looked for sales of $220.9 million on the same basis. GAAP reported sales were 25% lower than the prior-year quarter's $292.9 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.07. The five earnings estimates compiled by S&P Capital IQ predicted $0.06 per share. GAAP EPS were -$0.22 for Q1 compared to -$0.23 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 27.1%, 130 basis points better than the prior-year quarter. Operating margin was 0.2%, 260 basis points worse than the prior-year quarter. Net margin was -6.0%, 120 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $231.0 million. On the bottom line, the average EPS estimate is $0.18.

Next year's average estimate for revenue is $960.2 million. The average EPS estimate is $0.92.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 22 members out of 24 rating the stock outperform, and two members rating it underperform. Among five CAPS All-Star picks (recommendations by the highest-ranked CAPS members), five give Spansion a green thumbs-up.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Spansion is hold, with an average price target of $13.75.

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