The 10-second takeaway
For the quarter ended April 30 (Q2), Bio-Reference Laboratories beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share increased significantly.
Gross margins contracted, operating margins expanded, net margins were steady.
Bio-Reference Laboratories booked revenue of $163.4 million. The six analysts polled by S&P Capital IQ anticipated revenue of $161.2 million on the same basis. GAAP reported sales were 19% higher than the prior-year quarter's $137.7 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 $0.33. The six earnings estimates compiled by S&P Capital IQ predicted $0.32 per share. GAAP EPS of $0.33 for Q2 were 18% higher than the prior-year quarter's $0.28 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 48.6%, 110 basis points worse than the prior-year quarter. Operating margin was 10.3%, 60 basis points better than the prior-year quarter. Net margin was 5.7%, about the same as the prior-year quarter.
Next quarter's average estimate for revenue is $173.2 million. On the bottom line, the average EPS estimate is $0.43.
Next year's average estimate for revenue is $660.5 million. The average EPS estimate is $1.45.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 299 members out of 316 rating the stock outperform, and 17 members rating it underperform. Among 90 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 87 give Bio-Reference Laboratories a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Bio-Reference Laboratories is outperform, with an average price target of $25.80.
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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. The Motley Fool owns shares of Bio-Reference Laboratories. 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.