The 10-second takeaway
For the quarter ended June 30 (Q2), Clearwire met expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP loss per share shrank.
Margins increased across the board.
Clearwire logged revenue of $316.9 million. The 13 analysts polled by S&P Capital IQ looked for a top line of $320.6 million on the same basis. GAAP reported sales were 1.8% lower than the prior-year quarter's $322.6 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 -$0.26. The 11 earnings estimates compiled by S&P Capital IQ predicted -$0.31 per share. GAAP EPS were -$0.32 for Q2 compared to -$1.01 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 29.2%, 220 basis points better than the prior-year quarter. Operating margin was -98.1%, 650 basis points better than the prior-year quarter. Net margin was -46.0%, 630 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $319.6 million. On the bottom line, the average EPS estimate is -$0.32.
Next year's average estimate for revenue is $1.28 billion. The average EPS estimate is -$1.41.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 572 members out of 680 rating the stock outperform, and 108 members rating it underperform. Among 125 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 91 give Clearwire a green thumbs-up, and 34 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Clearwire is hold, with an average price target of $2.70.
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