Vonage Holdings (NYSE: VG) reported earnings on Oct. 31. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Vonage Holdings missed slightly on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue contracted and GAAP earnings per share contracted.

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

Revenue details
Vonage Holdings recorded revenue of $207.6 million. The one analyst polled by S&P Capital IQ wanted to see revenue of $211.3 million on the same basis. GAAP reported sales were 4.1% lower than the prior-year quarter's $216.5 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 $0.09. The two earnings estimates compiled by S&P Capital IQ predicted $0.06 per share. GAAP EPS of $0.06 for Q3 were 14% lower than the prior-year quarter's $0.07 per share.

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 68.4%, 70 basis points better than the prior-year quarter. Operating margin was 11.0%, 170 basis points worse than the prior-year quarter. Net margin was 6.4%, 100 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $211.0 million. On the bottom line, the average EPS estimate is $0.07.

Next year's average estimate for revenue is $850.1 million. The average EPS estimate is $0.29.

Investor sentiment
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 509 members out of 1,567 rating the stock outperform, and 1,058 members rating it underperform. Among 411 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 72 give Vonage Holdings a green thumbs-up, and 339 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Vonage Holdings is outperform, with an average price target of $3.00.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.