The 10-second takeaway
For the quarter ended June 30 (Q4), Oclaro met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP loss per share contracted.
Gross margins dropped, operating margins contracted, and net margins improved.
Oclaro logged revenue of $104.4 million. The four analysts polled by S&P Capital IQ anticipated revenue of $105.4 million on the same basis. GAAP reported sales were 4.3% lower than the prior-year quarter's $109.2 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 -$0.21. The seven earnings estimates compiled by S&P Capital IQ predicted -$0.16 per share. GAAP EPS were -$0.08 for Q4 compared to -$0.75 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 20.5%, 210 basis points worse than the prior-year quarter. Operating margin was -14.1%, 340 basis points worse than the prior-year quarter. Net margin was -3.8%, 2,990 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $111.7 million. On the bottom line, the average EPS estimate is -$0.10.
Next year's average estimate for revenue is $471.8 million. The average EPS estimate is -$0.09.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 125 members rating the stock outperform and 31 members rating it underperform. Among 34 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 29 give Oclaro a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Oclaro is hold, with an average price target of $5.15.
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