The 10-second takeaway
For the quarter ended March 31 (Q1), Cerus met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue improved significantly and GAAP loss per share improved.
Gross margins contracted, operating margins expanded, net margins shrank.
Cerus recorded revenue of $8.8 million. The five analysts polled by S&P Capital IQ wanted to see a top line of $8.7 million on the same basis. GAAP reported sales were 33% higher than the prior-year quarter's $6.6 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 -$0.17. The three earnings estimates compiled by S&P Capital IQ predicted -$0.08 per share. GAAP EPS were -$0.17 for Q1 compared to -$0.11 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 37.2%, 1,080 basis points worse than the prior-year quarter. Operating margin was -52.1%, 1,150 basis points better than the prior-year quarter. Net margin was -100.6%, 2,490 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $9.0 million. On the bottom line, the average EPS estimate is -$0.08.
Next year's average estimate for revenue is $37.3 million. The average EPS estimate is -$0.40.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 131 members out of 145 rating the stock outperform, and 14 members rating it underperform. Among 28 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 22 give Cerus a green thumbs-up, and six give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cerus is buy, with an average price target of $5.25.
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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.