The 10-second takeaway
For the quarter ended July 1 (Q4), Emulex beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew and GAAP loss per share expanded.
Gross margins dropped, operating margins grew, net margins dropped.
Emulex recorded revenue of $129.0 million. The 14 analysts polled by S&P Capital IQ looked for net sales of $127.0 million on the same basis. GAAP reported sales were 4.5% higher than the prior-year quarter's $123.4 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 14 earnings estimates compiled by S&P Capital IQ anticipated $0.22 per share. GAAP EPS were -$0.33 for Q4 compared to -$0.18 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 63.3%, 2,100 basis points worse than the prior-year quarter. Operating margin was 9.8%, 2,920 basis points better than the prior-year quarter. Net margin was -22.3%, 930 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $120.4 million. On the bottom line, the average EPS estimate is $0.15.
Next year's average estimate for revenue is $505.2 million. The average EPS estimate is $0.74.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Emulex is hold, with an average price target of $9.71.
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