Level 3 Communications (NYSE: LVLT) reported earnings on Oct. 24. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended Sep. 30 (Q3), Level 3 Communications met expectations on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue grew significantly and GAAP loss per share dropped.

Gross margins dropped, operating margins expanded, net margins grew.

Revenue details
 Level 3 Communications recorded revenue of $1.59 billion. The 13 analysts polled by S&P Capital IQ predicted revenue of $1.60 billion on the same basis. GAAP reported sales were 68% higher than the prior-year quarter's $947.0 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at -$0.26. The eight earnings estimates compiled by S&P Capital IQ predicted -$0.20 per share. GAAP EPS were -$0.76 for Q3 against -$1.75 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 59.6%, 240 basis points worse than the prior-year quarter. Operating margin was 8.7%, 670 basis points better than the prior-year quarter. Net margin was -10.4%, 1,150 basis points better than the prior-year quarter.

Looking ahead
 Next quarter's average estimate for revenue is $1.61 billion. On the bottom line, the average EPS estimate is -$0.02.

Next year's average estimate for revenue is $6.38 billion. The average EPS estimate is -$0.89.

Investor sentiment
 The stock has a two-star rating (out of five) at Motley Fool CAPS, with 1,836 members out of 1,973 rating the stock outperform, and 137 members rating it underperform. Among 254 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 223 give Level 3 Communications a green thumbs-up, and 31 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Level 3 Communications is outperform, with an average price target of $28.13.